The European Commission has cut its forecast for economic growth in the Eurozone this year.

Ireland is continuing to enjoy strong economic growth, official figures have revealed.

Ratings agency Moody's has forecast muted growth for the world economy this year and next.

Economic growth in the eurozone slowed in the second quarter as France stagnated and Italy lost momentum, held back by an uncertain global outlook that is even weakening investment in powerhouse Germany.

The competitiveness underpinning Ireland’s economic growth — which has seen more people return to work — is under threat from a range of factors that need to be urgently addressed.

The economy is expected to grow by 4% this year, while unemployment is to fall to 9.7% this year, and 8.4% next year.

A powerful and positive dynamic is underway in the economy.

Ireland’s economic growth rate surged to a post-crisis high of 4.8% last year, the fastest rate in the EU, as data confirmed a stunning recovery from the devastating 2008 property crash.

Ireland’s growth should reach 3% a year from next year, offering a real hope of leaving the economic crisis behind, according to the latest forecast for the economy.