Menu
01/04/2008
Economist Predicts No Growth For Ireland's Economy
The Celtic Tiger may have come to an official end according to an Irish economist.
Dr Alan Ahearne, a professor at NUI Galway, made the assertion at the annual investment conference of the Irish Association of Pension Funds.
Dr Ahearne said there was very little to justify forecasts of growth in the Irish economy such as that of the Lloyds TSB forecast, which suggested growth of four per cent. The professor also said a housing slump would wipe four percentage points off the annual growth rate and that official figures had underestimated a fall of 10-15 per cent last year and this year in house prices.
Despite the fall in house prices, Mr Aherne said there was little hope of an interest cut from the ECB.
However, offering some advice he recommended that Irish exporters should look to the Asian markets due to their current low valued currencies, and speculated the American dollar would continue to fall, which could be an excellent opportunity for European economies.
There is a ground swell of opinion however, is that the dollar will have a resurgence by the end of the year, according to Bank of Ireland Economist Dr Dan McLaughlin. He said there was a "policy vacuum" surrounding the currency, and that this posed risks to investors and exporters.
Dr McLaughlin said policy makers on both sides of the Atlantic seemed worryingly unconcerned about the value of the US currency, which he believes is facing a 30 per cent overvaluation against the euro.
(DW/JM)
Dr Alan Ahearne, a professor at NUI Galway, made the assertion at the annual investment conference of the Irish Association of Pension Funds.
Dr Ahearne said there was very little to justify forecasts of growth in the Irish economy such as that of the Lloyds TSB forecast, which suggested growth of four per cent. The professor also said a housing slump would wipe four percentage points off the annual growth rate and that official figures had underestimated a fall of 10-15 per cent last year and this year in house prices.
Despite the fall in house prices, Mr Aherne said there was little hope of an interest cut from the ECB.
However, offering some advice he recommended that Irish exporters should look to the Asian markets due to their current low valued currencies, and speculated the American dollar would continue to fall, which could be an excellent opportunity for European economies.
There is a ground swell of opinion however, is that the dollar will have a resurgence by the end of the year, according to Bank of Ireland Economist Dr Dan McLaughlin. He said there was a "policy vacuum" surrounding the currency, and that this posed risks to investors and exporters.
Dr McLaughlin said policy makers on both sides of the Atlantic seemed worryingly unconcerned about the value of the US currency, which he believes is facing a 30 per cent overvaluation against the euro.
(DW/JM)
Related Irish News Stories
Click here for the latest headlines.
08 August 2014
Fine Gael Welcomes ESRI Report
The latest report from the Economic and Social Research Institute (ESRI) has been welcomed by Fine Gael. They have described it as a "testament to the policies implemented under the current Government.
Fine Gael Welcomes ESRI Report
The latest report from the Economic and Social Research Institute (ESRI) has been welcomed by Fine Gael. They have described it as a "testament to the policies implemented under the current Government.
24 February 2012
Irish Economy Returned To Modest Growth In 2011
There is still uncertainty regarding the outlook for the euro zone, according to the Economic and Social Research Institute (ESRI).
Irish Economy Returned To Modest Growth In 2011
There is still uncertainty regarding the outlook for the euro zone, according to the Economic and Social Research Institute (ESRI).
30 August 2019
Businesses Urged To Tackle Brexit Head On
With less than nine weeks to go until Brexit, businesses are being urged to accelerate their preparations and avail of the wide range of State supports on offer to help them do so. The Minister for Business, Enterprise and Innovation, Heather Humphreys TD made a direct appeal while on a visit to Keelings, a family owned fruit company.
Businesses Urged To Tackle Brexit Head On
With less than nine weeks to go until Brexit, businesses are being urged to accelerate their preparations and avail of the wide range of State supports on offer to help them do so. The Minister for Business, Enterprise and Innovation, Heather Humphreys TD made a direct appeal while on a visit to Keelings, a family owned fruit company.
11 July 2013
Union Urges Govt To Increase Minimum Wage
Both the national minimum wage and social welfare payments should increase in the autumn budget, the Unite trade union has said. The union is calling on the government to make the increase in an effort to encourage spending.
Union Urges Govt To Increase Minimum Wage
Both the national minimum wage and social welfare payments should increase in the autumn budget, the Unite trade union has said. The union is calling on the government to make the increase in an effort to encourage spending.
02 February 2012
Mini Budget More Likely - SF
Sinn Fein have said the downward growth forecast by Ireland's Central Bank means a mini-budget is more likely. Speaking in response to today’s Central Bank growth forecast downgrade Sinn Féin's Pearse Doherty said that the downgrade demonstrated that "once again that austerity not working".
Mini Budget More Likely - SF
Sinn Fein have said the downward growth forecast by Ireland's Central Bank means a mini-budget is more likely. Speaking in response to today’s Central Bank growth forecast downgrade Sinn Féin's Pearse Doherty said that the downgrade demonstrated that "once again that austerity not working".
-
Ireland WeatherThis Evening and Tonight:It will be cloudy with a spell of heavy rain pushing south through late evening and the early hours, soon followed by some clear spells. Minimum temperature 6 °C.
