- In the second quarter of this year, real GDP rose by 1.9 per cent relative to the first quarter, and as a result was 6.7 per cent higher than in the same period last year.
- This comes on the back of an increase of 7.2 per cent in the first quarter of this year.
The Central Statistics Office (CSO) today (10th of September) published national accounts estimates for the second quarter of this year. Commenting on the figures, Minister for Finance Michael Noonan T.D. stated:
“Today’s figures are extremely positive. GDP rose by 1.9 per cent between the first and second quarters. As a result, GDP increased by 6.7 per cent year-on-year. This follows from an annual growth rate of 7.2 per cent in the first quarter of the year.
The increase in economic activity is broadly-based – unlike in the past when activity was excessively concentrated in the construction sector we are now seeing both domestic-facing and exporting sectors performing strongly.
Exports were strong in the second quarter, growing by 13.6 per cent. The multinational sector is contributing but so too are Irish-owned firms. The competitiveness improvements we’ve seen in recent years are standing to us. Domestic demand is also growing strongly, with consumer spending continuing to recover. Today’s encouraging data is mirrored in strong employment growth as well as tax receipts to end-August which increased by almost 10 per cent over the same period last year.
Nominal GDP is also growing strongly – we are seeing real growth as well as a strong increase in the GDP deflator, this mainly being due to the depreciation of the exchange rate over the course of this year. It is not unreasonable to expect a nominal increase of the order of €20 billion this year relative to last year; in these circumstances the debt-to-GDP ratio will fall below 100 per cent by the end of this year, a remarkable achievement given where we have come from.
Our over-riding objective now is to build upon the gains we have made in recent years and secure the recovery. The Government will continue to work to ensure the benefits of economic recovery are widely distributed to families across the country and create further jobs.”
Ends
10th September 2015
