Ireland continues to be among the euro area’s top growth performers. Real GDP expanded by 5.2 percent in 2016, aided by favorable labor market dynamics and improved balance sheets. Foreign-owned multinational enterprises (MNEs) play an important role in the economy, although their large scale and complex operations complicate assessment of underlying activity. While a steady reduction in crisis legacies is underway, continuity in recovery efforts will be key to ensuring that gains are sustainable and broadly shared.
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