The Irish economy has shown 'exceptional' recovery, according to Ibec's latest Quarterly Economic Outlook, which it published today (8 January).
The report forecasts growth of 4.2% in 2018 following expected growth of almost 6% in 2017.
The group that represents Irish business, outlined in its report that 'all indicators are now pointing to strong and sustainable growth in Ireland’s economy in 2017 and 2018 underpinned by business investment and strong consumer spending'.
The economy has now moved past its ‘recovery’ phase and can look forward confidently despite external threats. It is likely that the Brexit impact on growth in 2018 will be outweighed by positive domestic and global momentum.
“Since the crisis we have seen a recovery in the Irish economy which has been exceptional. This was driven by the strength of the Irish business model with record FDI and an increasingly global footprint from our indigenous industries.” Gerard Brady Ibec's Head of Tax and Fiscal Policy said.
Employment Returns To 2006 Levels
Brady said that due to growth in Ireland's business substance, the economic recovery phase is now over, with 2017 seeing Ireland surpass many of the most important pre-crisis milestones.
“As we enter 2018 the State’s accounts are effectively balanced, employment has returned to 2006 levels, and we are seeing the quickest real wage growth in Europe at 1.8%.” He said.
Disposable Incomes Shows Growth
The report showed that Irish households are 'benefitting' with 'real disposable incomes growing at over four times the eurozone average and per-capita income in working households now likely to have passed out its pre-crisis peak.'
Brady added, “In addition, figures show that Irish households are now in a positive net ﬁnancial position (deposits outweigh loans outstanding) for the ﬁrst time since the late 1990s. As a result, the net wealth position of Irish households in nominal terms has never been better whilst high Government debt is falling rapidly toward European norms.”
© 2018 - Checkout Magazine by Donna Ahern