Ireland’s Gross Domestic Product (GDP) will grow 10%, forecasted the investment platform provider Davy. Earlier they had suggested that the growth would be 4.8%. The revision number is increased because of the indigenous economy’s performance which far exceeds than expected before, Davy explained.
“The contraction in early 2021 was shallower than we feared, and a clear rapid bounce-back has taken place in the third quarter as Ireland’s successful Covid-19 vaccination programme has allowed business restrictions to be lifted, with further easing to come in the second half of the year,” the report said.
The report also pointed out that, the export business and multinational sector in the country remain unchallenged even after the Covid impact. After government’s new decision to ease restrictions furthermore, almost all sectors are regaining the business now.
Davy also suggested that the consumer spending in the country would increase by 6.5% in the second quarter and another 5.5% in the third. They also forecast the spending would return close to pre-pandemic level by the final quarter.
Meanwhile the report also warns the residential property price inflation will be 8% this year and 3.5% in 2022, adding more pressure to the property market.