Moody’s upgrades economic forecast for Ireland

Growth of 5% is now expected...

Moody’s upgrades economic forecast for Ireland

Picture by: Mark Lennihan / AP/Press Association Images

Ireland’s economy should grow by 5% this year, according to Moody’s.

The ratings agency bumped up its forecast from its previously floated figure of 4%, noting multinational investment as one of the key factors in fresh stimulation.

The increasingly “broad-based” nature of the recovery was also cited as they predicted employment to increase in 2016.

The public debt ratio (of government debt to GDP) is expected to fall below the 90% mark this year, improving on a November 2015 forecast of 93.6%. It is falling at one of the fastest rates in Europe, and was at 123% in 2013.

Ireland did not receive a ratings upgrade, however, with Moody’s keeping an eye on how we are reducing our still-heavy debt.