Ireland’s economy will contract by 8pc in 2020 and expand again by 6pc in 2021 as the coronavirus pandemic takes its toll, according to the European Commission’s latest economic forecast.
1/ The economic uncertainty has been compounded by “specific” Irish factors such as Brexit and changes in international taxation, the outlook says.
2/ Overall Ireland’s unemployment, deficit and debt levels will rise, but there are some consolations, such as the performance of the Irish pharameuctical and medical sectors.
3/ Unemployment is expected to rise to 7.5pc this year but recover to pre-crisis levels by the last quarter of 2021, the report says.
4/ The Commission’s spring economic forecast predicts the pandemic will trigger “very severe socio-economic” consequences for the global and EU economies, with the EU entering a recession of “historic” proportions in 2020.
5/ The report says the euro area will contract by a record 7¾pc this year and grow by 6¼pc in 2021, while the EU as a whole will contract by 7½pc and grow by around 6pc in the same period.
6/ More on the @rtenews website shortly
