Ireland Officially Exits Recession

GDP, which includes the multinational sector, grew 0.4% in the second quarter – although the domestic economy shrank 0.4%.

Ireland's building and construction sector

Ireland’s building and construction sector has reported growth of 4.2%. Photograph: Crispin Rodwell/Bloomberg

The recession in Ireland has officially ended.

After a downturn hit the country at the end of last year and the first few months of this year, the widest measure of the economy has now revealed a slight upturn.

According to estimates from the Central Statistics Office, gross domestic product, which includes the multinational sector, increased in the three months to June by 0.4% compared with the first three months of the year.

The figures will be a boost for the government as it prepares for the 2014 budget, which is to be announced on 15 October.

But despite one set of good figures, the domestic economy is suffering as it contracted by 0.4% in the same period.

Among the good returns for the country, there were signs of growth and improvement in shattered building and construction businesses.

The sector has reported growth of 4.2% from March to June.

The revival will go some way towards alleviating the impact of massive unemployment caused by the 170,000 builders who lost jobs in the wake of the property collapse from 2007.

Other improvements which have helped spark another recovery include a €1.5bn (£1.2bn) increase in exports and people spending more – up 0.7% on the first three months of the year.

Businesses involved in distribution, transport, software and communication increased by 1.4%.

– The Guardian