The economy of Ireland is projected to reach its highest record in 2018 based on the latest outlook of the European Commission. Ireland’s gross domestic product (GDP) is projected to expand by 5.6 percent this year and 4 percent in 2018, supported mainly by domestic demand. Meanwhile, the estimate of the EU executive shows that eurozone GDP has the potential to increase by 2.1 percent, which is below the 2.3 percent forecast according to its May report. Since Ireland is a very open economy, the country is potential to have revisions in the international taxation and trade environment. While the activities of multinational corporations could affect the headline GDP growth. In the near term, the commission expects that the domestic economic activity could possibly grow at a strong momentum. In general, the commission reduced its predictions for the EU economic growth for this year because of trade adjustments due to increasing oil prices and tensions with the United States which drove the EU inflation higher.
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