evidence: Ireland’s economy has remained strong throughout the winter across all key macroeconomic indicators and a budgetary surplus has facilitated a wide range of social transfers to mitigate cost-of-living challenges. However, a discourse is emerging that economic bottlenecks may hamper growth and competitiveness. Dr. Daragh McGreal looks at what this will mean for the Irish economy in H1 2023. Last year, despite challenges facing the global economy, Ireland’s economy was the fastest growing in Europe, with GDP growth of 12.2% and Modified Domestic Demand (MDD), which is used to measure the domestic economy, growing by 8.2%. The strong end to 2022 was driven by higher levels of investment by multinationals in intellectual property, continued growth in exports, higher private consumption (despite downbeat consumer sentiment), and a largely mild winter. [...] Overall, Ireland’s outlook remains positive in 2023 and beyond, with inflation expected to reduce, although high prices and rising interest rates are still expected to drag on growth. However, unemployment is expected to remain low and labour shortages in certain sectors may hold back growth.