DAVY VIEW

Last week, the Irish government announced strict restrictions on business activity, social distancing and travel and also unveiled a further €3.7bn fiscal stimulus. Nonetheless, the hit to GDP in Q2 2020 will now likely be larger than expected. However, we still believe Ireland’s export-orientated economy means that GDP will see a smaller hit than in other countries and puts it in a better position to bounce back once the COVID-19 outbreak dissipates.