The Irish economy is expected to rebound in the second half of this year as lockdown restrictions ease and the vaccination rollout takes effect, with consumer spending expected to increase sharply, according to the European Union's latest economic forecast.
However, the report warns of possible "scarring effects" caused by long term unemployment related to the pandemic. Overall, Ireland’s economy is projected to grow by 4.6% in 2021 and 5.0% in 2022, according to the European Commission’s Spring Economic Forecast.
The brighter picture reflects a broader EU and international recovery, following the devastating impact of the Coronavirus pandemic.