Domestic economy sees 3.1% growth in first half of 2026
Ireland's domestic economy grew by 3.1% in the first half of 2026, driven largely by personal spending. However, overall GDP fell by 7% due to volatility in the multinational-dominated pharmaceutical sector.
Why it matters
The data illustrates the disconnect between domestic economic health and the volatile output of multinational corporations, which significantly impacts national GDP figures.
The domestic economy grew by a healthy 3.1% in the first six months of this year, according to the latest figures from the Central Statistics Office.
The strong performance was driven by personal spending which was up 2.8% in the first half of 2026.
The domestic sectors of the economy were up 1.7%.
Today's figures mean the economy is in a strong position ahead of the Budget which will be announced on October 6.
However, the CSO figures show volatile output by multinationals resulted in a 7% fall in Gross Domestic Product (GDP) – the measure of the economy which includes the impact of foreign companies - in the first six months.
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