Economic outlook bright – despite gathering clouds
The economic outlook for the year ahead is for more growth, despite storm clouds gathering on the horizon, according to Ireland’s most notable economist.
Dr Alan Ahearne, Director of the Whitaker Institute and Professor of Economics at the NUI Galway, said 2019 was a ‘strong year’ economically, and all the predictions point to further economic growth in the coming twelve months.
However, he said, a global recession, Britain leaving the European Union – and particularly a ‘hard Brexit’ – and the US escalating trade war policies, all pose potential significant risks to the country’s economic wellbeing.
Dr Ahearne said the economy continued to grow at a fast-pace in 2019 – exports grew, domestic spending was up and household consumption is growing.
“I think where we really see the strength is in the labour market. The economy is creating around 1,000 new jobs per week. Our unemployment rate is now down at 5%, so we have effective full employment. It has been an extraordinary recovery.
“This is the seventh year now of very fast employment growth. For decades, when I was growing up, Ireland didn’t have enough jobs for our people, and now we don’t have enough people for our jobs. There’s a shortage of people in many sectors,” said Dr Ahearne.
See full story in this week’s Connacht Tribune – on sale this Friday.