The economy is likely to grow by less than 3pc this year, according to the body representing the country's employers. Saying that the world economy is slowing down, IBEC predicts GNP growth of just 2.7pc in this country for 2003. In its quarterly economic outlook, it sees a particular weakness in maufacturing, with no signs yet of any pick up. IBEC believes that the number of jobs in the country will show little or no change this year, with the unemployment rate rising to 5.5pc as a result.
Its chief economist David Croughan has urged the government to press ahgead with public private partnerships to get new infrastructure projects going. Speaking at the launch of the outlook, IBEC's director of economic affairs Brian Geoghegan urged further spending cutbacks in other areas if tax returns continue to come in below expected levels. He said that cash shortages in hospitals was evidence that they were inefficient. ///www.fxcentre.com