Central Bank forecast - Writedown on debt is needed

There’s no light at the end of Ireland’s dark economic tunnel judging by yesterday’s gloomy forecast from the Central Bank that the domestic economy will remain in deep recession this year.

Based on an increasingly bleak outlook for the global economy, this alarming prediction is a major blow to Ireland’s job creation prospects and a setback for homegrown and multinational companies that rely on exports.

It also puts the spotlight on Enda Kenny amid growing confusion over whether Ireland asked the EU for a bank debt writedown in recent EU negotiations.