The Irish economy is forecast to be in recession this year, falling by 4% to 0.5% in the year to December, according to a report from the OECD.
This is the first time since 2009 that the country’s GDP has not risen in the first three quarters of a year.
“The recovery has not been uniform and it is clear that the recession will persist,” the OECD report said.
“While the overall economy has grown at a strong pace, it is also clear that growth has slowed as a share of GDP.”
For the first quarter of 2019, the recovery has been slower than in the previous three quarters.
Growth has been uneven in recent years, with some countries, notably Italy, showing slower growth than the rest of Europe.
“The economy is expected to shrink by 2.5 percentage points in 2019, and by 1.5 points in 2020.
The report also found that the number of people without a job in Ireland is set to rise by 1,000 in 2019 and by 2,000 by 2020.
It found that job losses are also set to accelerate in 2019 due to the impact of the Brexit vote, and the rise in the cost of living.
It said that while the number and size of jobs is forecast by many to remain stable, “the scale of job losses in the sector is set by the economic model and the economic conditions that underpin those models”.”
These factors are likely to drive down the size and number of jobs in sectors that rely on skilled labour.
“In addition, there is a risk of a further decline in the number, or even the level of, the jobs that exist in sectors of the economy that are more vulnerable to the consequences of Brexit.”
The report said there is still a “significant and growing risk” that the UK will not meet its commitments under the Paris Agreement, which is meant to limit warming by curbing emissions.
“As a result, the UK could experience an acceleration of job loss,” it said.
The OECD also said that a “lack of confidence” in the government’s ability to meet its climate commitments is also causing job losses.
It also said the growth of the Irish economy will continue to slow over the coming years.
“We expect that over the next three years, GDP growth will continue at about a 0.1 percentage point per annum, with the outlook for the Irish economic outlook being worse than that for many other developed economies,” the report said, pointing out that the growth is forecast at 2.1% this year and 2.4% in 2019.
It warned that if Ireland does not take further action to reduce carbon emissions, it will be forced to leave the EU and leave the European Union itself.