Risks on the rise in 2019
Ibec published its latest Quarterly Economic Outlook Q4 2018 on 7 January, which forecasts GDP growth of 4.1% in 2019. A positive outlook is expected for other economic indicators such as employment and consumer spending. However, growth will be weaker than in recent years as Ireland is now at a mature phase of the business cycle with the economy close to capacity and as cost competitiveness erodes. Also, the outcome of the Brexit deal will largely determine the economic fortunes of the country in 2019.
Key points from the Ibec Quarterly Economic Outlook Q4 2018 include:
- Growth: Ibec forecasts GDP growth of 4.1% this year.
- Consumer Spending: Growth of 2.9% in 2019.
- Employment: Will grow by 2.5% in 2019. This will create 66,000 jobs.
- Wages: Ibec’s HR survey shows that wages are expected to grow by 2.5% in 2019.
- Inflation: Is expected to be relatively weak at 1.1% for 2019.
You can download a copy of the report here.