Irish GDP forecast to grow nearly 7 pct in 2015

Despite weaker global economic growth, Irish gross domestic product (GDP) has been forecast to grow nearly 7 percent in 2015 and 5 percent in 2016, according to a local economist on Tuesday.

Alan McQuaid, chief economist with the Dublin-headquartered Merrion Stockbrokers, said Irish GDP was up 1.4 percent in the quarter and 7 percent in the year in the third quarter of 2015, way above Spain, the next strongest Eurozone performer.

In the first three-quarters of the year, average GDP growth was 7 percent in real terms.

"It is quite clear from these figures that the Irish economy continues to go from strength to strength and will easily top the Eurozone growth league table again in 2015," said McQuaid, while releasing the latest Irish Quarterly Economic Outlook.

According to the Irish economist, based on the numbers for the first three-quarters of last year and even allowing for some slowdown in the final quarter because of weaker global activity, average GDP growth for 2015 as a whole is likely to be close on 7 percent, a level not seen since the 'Celtic Tiger' era.

"Assuming no major external shock, the positive stimulus measures announced in Budget 2016 should help to generate further strong growth this year, with an average increase in national output of 4.5 percent to 5.5 percent on the cards," he said.

On Monday, Irish Prime Minister Enda Kenny said his country is forecast to be the fastest growing economy in Europe again in 2015.

Kenny said the Irish economy is likely to have grown by at least a further 6.2 percent in 2015. Endit