DUBLIN, June 19 (AFP): Ireland faces significant challenges as it begins a tentative economic recovery, the International Monetary Fund said Wednesday in its first review since Dublin exited an international bailout programme in December.
"Following a smooth exit from the EU-IMF supported programme, strong job creation and other indicators suggest Ireland's economic recovery is broadening," the IMF said in a staff report.
"Nonetheless, important challenges remain, with unemployment still high, credit continuing to contract, and significant public and private balance sheet fragilities."
Ireland was forced to turn to the European Union and the IMF for an 85-billion-euro ($115 billion) rescue in 2010 after a banking crash and the bursting of a property bubble, but regained investor confidence after it cut spending and raised taxes.
Dublin has since made a number of returns to the debt markets at favourable interest rates and Ireland's 10-year bond yield reached an all time low of 2.4 per cent this month.
The IMF forecasts the Irish economy to grow 1.7 per cent in 2014 and to increase 2.5 per cent on average from 2015.
IMF sees Irish economic recovery in risks
FE Team | Published: June 20, 2014 00:00:00 | Updated: November 30, 2026 06:01:00
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