It expects that Modified Domestic Demand (MDD), regarded as the most reliable measure of Irish economic activity, will grow by 2.3pc this year. This will be supported by a 2.3pc rise in consumer spending, a 4pc rise in government spending and a 6.6pc rise in construction output. The Bank of Ireland forecast is for property price inflation to slow to 4pc this year. The Bank of Ireland analysis said there was a “welcome” rebound in construction output last year. Bank of Ireland is forecasting that GDP grew by 11.2pc last year, but sees a slowdown to 2.8pc this year.

Source: Irish Independent January 27, 2026 07:03 UTC