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ESRI lowers economic growth forecasts as Covid restrictions continue

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The Economic and Social Research Institute has lowered its forecasts for growth in the economy this year, due to ongoing Level 5 pandemic restrictions.

In its Quarterly Economic Commentary, it has also significantly reduced the number of house completions it expects this year.

It comes as Covid restrictions have continued for a lot longer than anyone expected. It has meant less economic activity and fewer people in work.

The ESRI has knocked half a percentage point off its forecast for economic growth this year as a result. It still expects the economy to stage a recovery in the second half of the year, delivering growth of 4.4%.

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