Ireland » Outlook

International Property Brokers forecast that the economy of Ireland is modern and trade-dependent with growth averaging a robust 10% in 1995–2000. Agriculture the most important sector is now dwarfed by industry, which accounts for 46% of GDP, about 80% of exports and employs 29% of the labour force. The economy is also benefiting from a rise in consumer spending and recovery in both construction and business investment. House price inflation has been a particular economic concern. Unemployment is low but is rising and up to 30,000 jobs may be lost between 2007 and 2008 much of which is attributed to a slowdown in house building.

Incomes have been rising rapidly as well as service charges. Dublin, the nation's capital, was ranked 16th in a worldwide cost of living survey in 2006. Ireland has the second highest per capita income of any country in the EU next to Luxembourg and fourth highest in the world based on measurements of Gross Domestic Product (GDP) per capita. Many economists feel that GDP per capita is an inappropriate measure of national income for Ireland because it does not consider the repatriation of profits by multinational companies. In any case, the vast majority of wealth held by Irish citizens is invested in property.

Furthermore, the construction sector, which is naturally recurring in nature, accounts for a significant component of Ireland's GDP and GNP; any downturn in this sector is likely to have a profound impact. In 2005, the World Bank measured Ireland's GNI per head at $41,140 the seventh highest in the world, sixth highest in Western Europe and the third highest of any EU member state.

Outlook for 2008-09
At present the Irish Government controls several large and key parts of the economy:

• Through Coras Iompair Eire Ann (CIE) it controls most of the bus and all of the railway market. Significant portions of the scheduled land transport services are accounted for through CIE companies.
• Through the Electricity Supply Board (ESB) the government controls the electricity generation market and the entire electricity transmission network.
• Through RTE the government control much of the radio and television broadcast sector, although commercial enterprises are gaining market share. The state does not generally use the media it owns to spread propaganda, but it has a large financial and regulatory control of the sector.
• Through An Post, the government has a monopoly of the light mail delivery industry and a large portion of the partially deregulated parcel and express delivery market.