Despite GDP volatility, driven by some multinational-dominated sectors, the domestic economy remains robust, thanks to strong labour market performance, but risks have risen. Fiscal prudence is required to address spending pressures from ageing, infrastructure gaps, climate change and housing investment. Enhancing the fiscal framework, boosting spending efficiency, and diversifying tax revenues would improve long-run fiscal sustainability. In the context of a rapidly increasing population and rising capacity constraints, addressing investment needs requires effective prioritisation and sequencing across sectors and type of projects. Reducing labour and skills shortages, lowering legal costs, and further easing administrative burdens on businesses would help maintain cost competitiveness. While Ireland has well-developed climate change mitigation and adaptation frameworks, a shift from planning to implementation is needed.?
SPECIAL FEATURES: COMPETITIVENESS; GREEN TRANSITION; HOUSING
Further reading
- Ireland: Boosting housing supply to raise living standards and preserve competitiveness - Blog Post
- Press release: EN｜FR
- Read the survey and access previous releases
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