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29.07.202610:00:00UTC+00Ireland’s GDP Slump Eases Sharply in Q2, Year-on-Year Contraction Narrows to 1.6%

Ireland’s economy showed signs of stabilisation in the second quarter of 2026, with the year-on-year decline in GDP narrowing significantly compared with the start of the year. According to data updated on 29 July 2026, Irish GDP fell by 1.6% year-on-year in the second quarter, a marked improvement from the 17.1% contraction recorded in the first quarter.

Both figures are measured on a year-over-year basis, comparing each quarter to the same period a year earlier. While output is still below last year’s level, the sharp moderation in the pace of decline suggests that the worst of the downturn may have passed. Investors and policymakers will now be watching upcoming data to assess whether the easing contraction can transition into a return to positive growth in the coming quarters.

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