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flag Ireland Ireland: Economic and Political Outline

Economic Indicators | Foreign Trade in Figures | Sources of General Economic Information | Political Outline

Economic Indicators

The Irish economy was seriously affected by the international financial crisis because of its extensive in-sourcing, its high level of financialization and the importance of real estate in the active economy.  It was the first European country to go into recession and it should restore a positive growth in 2011.  From -7.6% in 2009, the contraction of GDP was reduced to -0.3% in 2010, due to the slow progress in the exports of chemical and pharmaceutical products. 

In the context of a reduction of fiscal revenues and an increase in social costs, the priority of the government remains in restricting expenditures, reorganizing public finance, stabilizing the bank system and improving competitiveness.  The objective is to bring the public deficit to 3% of GDP from now until 2014, against 12.8% where it stands now.

The unemployment rate started to rise since 2008 and could reach more than 13% today.

 
Main Indicators 2009201020112012 (e)2013 (e)
GDP (billions USD) 223.68206.99222.27227.38233.75
GDP (Constant Prices, Annual % Change) -7.0-0.40.41.52.2
GDP per Capita (USD) 50,16046,29848,51749,79451,135
General Government Balance (in % of GDP) -11.6-8.9-6.8-5.5-4.3
General Government Gross Debt (in % of GDP) 65.294.9109.3e115.4118.3
Inflation Rate (%) -1.7-1.6e1.1e0.61.4
Unemployment Rate (% of the Labor Force) 11.813.614.313.913.2
Current Account (billions USD) -6.541.01e3.94e4.313.24
Current Account (in % of GDP) -2.90.51.8e1.4-

Source: IMF - World Economic Outlook Database ; World Bank , Last Available Data

Note: (e) Estimated Data

Main Sectors of Industry

Agriculture remains a key sector despite its small part of the GNP (3%).  The government is trying to consolidate its role in the economy by modernizing it and by expanding the food-processing industries (beef, dairy products, potatoes, barley and wheat).
Ireland’s recent industrial development has been achieved by an intentional policy promoting high-tech companies to export and, in part, by offering attractive packages to investors. This sector contributes to more than one third of the GNP. Textiles, chemical and electronic products have, in particular,  obtained high results.
The service sector (approximately two-thirds of the GNP), banking and finance have experienced  such a large growth that Dublin counts now with a sizable international financial center and tourism has become a substantial source for foreign exchange revenues (5% the GNP).

 
Breakdown of Economic Activity By Sector Agriculture Industry Services
Employment By Sector (in % of Total Employment) 5.0 21.1 73.5
Value Added (in % of GDP) 1.0 32.0 67.0
Value Added (Annual % Change) 8.4 -4.6 -8.3

Source: World Bank - Last Available Data.

 
 
 
 
Learn more about Market Analysis about Ireland on Globaltrade.net, the Directory for International Trade Services.
 

Indicator of Economic Freedom

Score:
78.7/100
Position:
Mostly free
World Rank:
7/179
Regional Rank:
2/42

Distribution of Economic freedom in the world
Source: 2011 Index of Economic freedom, Heritage Foundation

 

Country Risk

See the Country Risk Analysis Provided By Ducroire.

 

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Foreign Trade in Figures

Ireland is a very open economy and therefore very dependent on international situations. In 2010, trade represented more than 150% of the GDP. 

After the international economic crisis, the structural trade surplus strongly increased due to the fall of imports combined recently with some resistance in exports. 

The main imports are machinery and equipment, oil and petroleum products, textiles and clothing. The main exports are computers, chemical and pharmaceutical products, live animals and animal products.

Ireland's main trade partners are the European Union and the United States.

 
Foreign Trade Indicators 20062007200820092010
Imports of Goods (million USD) 73,11883,82283,96562,70459,123
Exports of Goods (million USD) 108,726121,544125,720115,928117,218
Imports of Services (million USD) 80,05094,487110,703104,199105,994
Exports of Services (million USD) 70,99292,28699,26592,11295,093
Imports of Goods and Services (Annual % Change) 6.47.8-2.9-9.7-
Exports of Goods and Services (Annual % Change) 4.4----
Imports of Goods and Services (in % of GDP) 69.771.574.475.4-
Exports of Goods and Services (in % of GDP) 79.380.583.490.7-
Trade Balance (million USD) 31,43727,12634,71345,11248,273
Trade Balance (Including Service) (million USD) 22,87725,50323,71134,02238,837
Foreign Trade (in % of GDP) 149.0151.9157.8166.1-

Source: WTO - World Trade Organization ; World Bank , Last Available Data

 

Main Partner Countries

Main Customers
(% of Exports)
2010
United States 23.2%
United Kingdom 15.4%
Belgium 14.3%
Germany 8.1%
France 5.0%
See More Countries 33.9%
Main Suppliers
(% of Imports)
2010
United Kingdom 32.1%
United States 14.1%
Germany 7.7%
China 5.5%
Netherlands 4.9%
See More Countries 35.8%

Source: Comtrade, Last Available Data

 

Main Products

Main Exports
(% of Exports)
2010
Medicaments consisting of mixed or unmixed...Medicaments consisting of mixed or unmixed products for therapeutic or prophylactic uses, put up in measured doses "incl. those in the form of transdermal administration" or in forms or packings for retail sale (excl. goods of heading 3002, 3005 or 3006) 19.9%
Heterocyclic compounds with nitrogen hetero-atom[s...Heterocyclic compounds with nitrogen hetero-atom[s] only 11.1%
Nucleic acids and their salts, whether or not...Nucleic acids and their salts, whether or not chemically defined; heterocyclic compounds (excl. with oxygen only or with nitrogen hetero-atom[s] only) 6.3%
Mixtures of odoriferous substances and mixtures,...Mixtures of odoriferous substances and mixtures, incl. alcoholic solutions, based on one or more of these substances, of a kind used as raw materials in industry; other preparations based on odoriferous substances, of a kind used for the manufacture of beverages 5.5%
Human blood; animal blood prepared for therapeutic...Human blood; animal blood prepared for therapeutic, prophylactic or diagnostic uses; antisera and other blood fractions and modified immunological products, whether or not obtained by means of biotechnological processes; vaccines, toxins, cultures of micro-organisms (excl. yeasts) and similar products 4.9%
See More Products 52.4%
Main Imports
(% of Imports)
2010
Petroleum oils and oils obtained from bituminous...Petroleum oils and oils obtained from bituminous minerals (excl. crude); preparations containing >= 70% by weight of petroleum oils or of oils obtained from bituminous minerals, these oils being the basic constituents of the preparations, n.e.s.; waste oils containing mainly petroleum or bituminous minerals 6.0%
Powered aircraft "e.g. helicopters and aeroplanes"...Powered aircraft "e.g. helicopters and aeroplanes"; spacecraft, incl. satellites, and suborbital and spacecraft launch vehicles 5.3%
Medicaments consisting of mixed or unmixed...Medicaments consisting of mixed or unmixed products for therapeutic or prophylactic uses, put up in measured doses "incl. those in the form of transdermal administration" or in forms or packings for retail sale (excl. goods of heading 3002, 3005 or 3006) 4.4%
Automatic data processing machines and units...Automatic data processing machines and units thereof; magnetic or optical readers, machines for transcribing data onto data media in coded form and machines for processing such data, n.e.s. 3.3%
Petroleum oils and oils obtained from bituminous...Petroleum oils and oils obtained from bituminous minerals, crude 3.0%
See More Products 78.0%

Source: Comtrade, Last Available Data

 
See More Products
More imports (Intracen Data)
More exports (Intracen Data)
 

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Sources of General Economic Information

Ministries
Department of Enterprise, Trade and Employment
Department of Agriculture, Fisheries and Food
Industrial Development Agency
Statistical Office
Central Statistics Office
Central Bank
European Central Bank
Central Bank and Financial Services Authority
Stock Exchange
Irish Stock Exchange
Search Engines
Yahoo!
Browse Ireland
Ireland's Portal
Nice One
Google
Economic Portals
The Economic and Social Research Institute

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Political Outline

Executive Power
President, chief of state and Prime Minister (Taoiseach), head of government.
Legislative Power
Bicameral national Parliament (Oireachtas): House of Representatives (Dail) and Senate (Seanad).
Main Political Parties
- Fianna Fail: represents the tradition that rejected the treaty because the present six counties of Northern Ireland were excluded from the outset.
- Fine Gael: Fine Gael represents the tradition that accepted the treaty as a stepping-stone to an eventual republic of the whole island.
- Others: Labor, Progressive Democrats, Green Party, Sinn Fein.
Current Political Leaders
President: Michael D. HIGGINS - Labour (since 29 October 2011)
Prime Minister: Enda KENNY (since 9 March 2011)
Next Election Dates
Presidential elections: October 2018
Parliamentary: 2016
 

Indicator of Freedom of the Press

World Rank:
10/178
Evolution:
7 places down compared to 2009

Source: Worldwide Press Freedom Index 2010, Reporters Without Borders

 

Indicator of Political Freedom

Ranking:
Free
Political Freedom:
1/7
Civil Liberties:
1/7

Map of freedom 2010
Source: Freedom House

 

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Last Updates: January 2012