DAVY VIEW

For Ireland and the global economy more broadly, 2025 has been a year characterised by economic resilience to disruptive trade developments and geopolitical tensions. An important factor underpinning this outcome is new technology, from which Ireland’s economy has long been well-placed to benefit. While downside risks remain ever abundant, we find that new policies to support housing and infrastructure in Ireland imply that upside risks are likely to crystallise. We also find that consumer spending and employment growth remain strong heading into 2026. As such, we remain comfortable with our above-consensus forecast for Ireland’s national income to grow by 4-5% a year in real terms.