Ireland’s quarterly economic growth accelerated at a much quicker pace than the initial estimate, provisional data published by the Central Statistics Office showed on Thursday.
The CSO estimated the rate of growth for gross domestic product quickened to 9.7% in the first quarter, rather than the 3.2% estimate published back in April. On a yearly basis, GDP grew by 22.2%, compared to an initial estimate of 13.3%.
This discrepancy may be due to the inclusion of additional company survey data, the CSO suggested.
The GDP boost was driven by goods exports, which rose by about 14.8%, or €13.5 billion, on-quarter. Total exports grew 9.4%, equivalent to roughly €18.2 billion.
Robert Purdue, Ireland’s head of dealing at financial services firm Ebury Partners Ltd, noted: ‘Many businesses rushed to export goods to the United States before President Trump’s tariff sanctions came into effect.’
Growth in multinational-dominated sectors was another key driver, speeding up to a rate of 12.4% between January and March. The globalised industry sector increased by 17.1% on-quarter, while information & communication increased by 3.8%.
Ireland’s domestic sector grew at a more modest rate of 0.7%. Modified domestic demand, a measure of underlying domestic activity covering personal, government, and investment spending, grew by 0.8% in the first three months of the year. More specifically, personal spending on goods and services increased by 0.6%.
Gordon Cavanagh, National Accounts Statistician, pointed to ‘notable increases’ in the construction and financial & insurance sectors, which rose by 6.7% and 9.4% respectively.
The only sector to post a quarterly decline was real estate, which fell by 1.0%.
‘While the GDP rebound is an encouraging sign of the resilience of the Irish economy, it also demonstrates its heavy exposure to trade challenges,’ Purdue added.
‘A tougher global trade environment could threaten GDP and business confidence in the months ahead...Managing FX and supply chain volatility, securing flexible financing, and staying prepared for changing conditions will be essential.
Copyright 2025 Alliance News Ltd. All Rights Reserved.