We need your help now

Support from readers like you keeps The Journal open.

You are visiting us because we have something you value. Independent, unbiased news that tells the truth. Advertising revenue goes some way to support our mission, but this year it has not been enough.

If you've seen value in our reporting, please contribute what you can, so we can continue to produce accurate and meaningful journalism. For everyone who needs it.


Irish economic growth expected to slow even with Brexit trade deal, says Central Bank

Overall, the country’s economic growth has been described as “broadly positive”.

ECONOMIC GROWTH IN Ireland is “broadly positive” but expected to slow down in the coming years even if an EU-UK trade deal is reached, according to the Central Bank. 

The first quarterly bulletin of the year from the Central Bank has outlined that economic growth has stayed “remarkably resilient” in recent years despite weak world demand and heightened Brexit uncertainty. 

Director of economics and statistics at the Central Bank Mark Cassidy said economic growth has been positive, but is expected to slow down. 

“While the economy has been growing strongly in recent years, the pace of that expansion is likely to slow down,” Cassidy said in a statement. 

“Our forecasts are based on an assumption that an EU-UK trade agreement is in place from January 2021, but even in that scenario, which is not guaranteed, we still see the pace of economic growth gradually slowing.” 

Ireland’s economy is approaching full employment, the quarterly bulletin says. There will a gradual growth in services prices as a result of this. 

Consumer spending growth last year was broadly similar to that in 2018.    

Strong export growth is expected to continue, although it was mainly focused in certain sectors such as pharmaceuticals, computer processors and computer services.

Growth in other sectors was more modest. Employment growth is also expected to slow down somewhat from previous strong growths.  

The economic impact of a Brexit trade deal will depend on “how close or far” they are from the current arrangement, the Central Bank governor Gabriel Makhlouf said today.

“But it seems likely and unsurprising that any future economic relationship between the EU and the UK will have more hurdles than the status quo,” Mahklouf said at the European Financial Forum. 

He added that the economic impact of the coronavirus in China “adds to already existing uncertainties” worldwide. 

“While it is premature to reach any conclusions, there is the potential for a negative shock to the growth of the international economy in the short-term,” he said.  

Readers like you are keeping these stories free for everyone...
A mix of advertising and supporting contributions helps keep paywalls away from valuable information like this article. Over 5,000 readers like you have already stepped up and support us with a monthly payment or a once-off donation.

Your Voice
Readers Comments
This is YOUR comments community. Stay civil, stay constructive, stay on topic. Please familiarise yourself with our comments policy here before taking part.
Leave a Comment
    Submit a report
    Please help us understand how this comment violates our community guidelines.
    Thank you for the feedback
    Your feedback has been sent to our team for review.

    Leave a commentcancel