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Ireland’s gross domestic product contracted by 2% quarter-on-quarter in the first quarter of 2026, following a 3.8% decline in the previous quarter, according to preliminary estimates. This marks the second consecutive quarter of economic contraction, largely driven by a downturn in the multinational-dominated industrial sector. On an annual basis, the economy shrank by 6% in Q1, its weakest performance since Q4 2023, reversing a 2.2% expansion in the previous quarter.
