Modified domestic demand, which factors out the impact multinationals have on the economy, will produce growth of 0.7% this year and 2.3% in 2024, representing a slow from last year’s economic growth of 5.6% in 2022.
However, the report warns that increased Government support will be needed to ensure that housing completion numbers meet targets, forecasting 28,373 residential units will have been completed last year, but that number will fall this year and next year.
The report does not expect housing prices to fall this year, but does expect a fall in house price inflation from 8% last year to 3.2% this year, with consumer price inflation also falling significantly to 5.6% this year and 2.8% next year.
The report expects wages to grow by 4.5% this year.
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