Kenny: Govt sticking to 2012 growth forecast

Taoiseach Enda Kenny has said that the Government is sticking with growth predictions for next year, despite a downgrade by the Economic and Social Research Institute (ESRI).

The ESRI in a report published today slashed growth forecasts for 2012 to 0.9%, saying Ireland will slip back into recession unless a solution is found to the eurozone crisis.

However this morning the Taoiseach told the Dáil that the Government is sticking to its growth forecast of 1.6% for next year.

Mr Kenny also declared that is is his firm position for the Eurozone summit next week that the solution to the euro crisis is for the ECB to step in.