IMF says Irish economy to fall the hardest

IRELAND’S economy is the most “overheated” of the advanced countries in Europe and is experiencing the same shock as European countries in the immediate aftermath of World War II.

The International Monetary Fund said the Government allowed too much easy credit to the property sector and that it was now paying the penalty.

It also forecast the country’s unemployment figure could reach 15% and its deficit could reach 12% by next year.