Gloomy Central Bank report cuts growth forecasts for 2016 and 2017

It's warned that Ireland's corporate tax take could "quickly melt away"

The Central Bank has cut its growth forecasts in the wake of the Brexit vote.

It has lowered Ireland's growth predictions by 0.2% for 2016 and 0.6% for 2017.

Chief Economist, Gabriel Fagan, says some sectors of the Irish economy - including agriculture, clothing and tourism - depend on exports to the UK and could be hit by their decision to leave the EU.

He added that following the publication of the CSO figures indicating that the Irish economy grew by 26% last year we need to develop new ways of measuring economic activity:

"There is a need to develop more meaningful, commonly agreed measures of the actual level of Irish economic activity that accurately mirrors developments within the economy."

He continued: "While the Irish economy has become less reliant on the UK for trade over recent decades, the UK remains a particularly important market for indigenous firms.  Some sectors, including agri-food, clothing, footwear and tourism continue to have a relatively high dependency on exports to the UK and, consequently, could be affected disproportionately."

The bank also warned that Ireland is becoming more reliant on potentially fragile sources of income - with specific reference to the country's ballooning corporate tax receipts. It states that these streams "can quickly melt away" and that it is "dangerous" to use such income to fund public spending increases.

But it's not all bad news, the Central Bank is projecting an increase in employment of 67,000 over the next two years.