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(From Irish Independent)
ECONOMIC growth data for the first quarter confirmed the slowing of the economy, with GDP growth falling to just 0.5pc from 7.5pc in the final quarter of last year, according to the Central Statistics Office.
GNP, which excludes the impact of multinational profit repatriation from Ireland, showed an annual growth rate of 0.8pc.
The slowdown came right across the economy, although consumer spending providedsome comfort as it continued to grow, even if only marginally. Capital investment fell by 12.4pc, thanks largely to lower investment in transport equipment, while output from Irishindustry increased by just 1pc. Two years ago, industrial output was growing at over25pc, while even last year it grew by 4.2pc in the first quarter.
Exports were also slower, falling by almost [euro]400m, compared to the first quarter lastyear.
Economist Jim Power is still forecasting GNP growth of 0.8pc and GDP growth of 3pc thisyear. He said there is nothing in yesterday's data that will give Mr McCreevy any comfort as he contemplates Budget 2004.
He said the figures showed that the "animal spirits" of the Irish consumer have moderatedsharply over the past couple of years, particularly if one considers that consumption ...