Irish economy forecast to contract slightly by EU commission

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Irish economy forecast to contract slightly by EU commission
European-CommissionPaolo-GentiloniApple-Tax
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Economy commissioner says US tariffs on EU exports would be ‘extremely harmful’ to both

European Commissioner for Economy Paolo Gentiloni said the EU economy is returning to modest growth following a prolonged period of stagnation. Photograph: Olivier Hoslet / EPA

A previous economic forecast in May said Ireland’s economy was expected to grow by 1.2 per cent this year. That has been reversed in the latest outlook, which now states that Ireland’s economy will shrink by 0.5 per cent instead. During the campaign, the president-elect of the United States spoke about plans to slap tariffs of up to 20 per cent on imports from abroad, in a move that would hit Europe – and particularly Ireland as a major exporter to the US – hard.

Irish exports had “rebounded” in the first half of the year, in part due to a return to growth in the pharmaceutical sector, the commission’s assessment said.

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