Measuring Ireland's Progress 2021

Ireland: Gross Domestic Product, Gross National Income and Modified Gross National Income

• Gross Domestic Product (GDP) at current market prices increased from €171.7bn in 2011 to €426.3bn in 2021 (see Table 2.1).
• Gross National Income (GNI) also increased between 2011 and 2021, from €139.8bn to €323.5bn. However, as a percent of GDP, GNI has decreased in the same time period, from 81.4% in 2011 to 75.9% in 2021.
• Modified Gross National Income (GNI*) at current prices fell from €210.7bn in 2019 to €200bn in 2020, but rose again in 2021 to €233.9bn. GNI* is an indicator that is designed to exclude globalisation effects that have a disproportionate impact on the measurement of the size of the Irish economy, see Background Notes for further details.
• GNI* per capita at current prices rose from €27,890 in 2011 to €46,668 in 2021 despite experiencing a small decline to €40,181 in 2020 (see Figure 2.1).

By country: GDP and GNI at current market prices

• Ireland had the eleventh highest Gross National Income (GNI) in the EU27 in 2021 at €323.5bn and the ninth highest Gross Domestic Product (GDP) at €426.3bn (see Table 2.2).
• Ten countries in the EU27 had a GNI greater than or equal to their GDP in 2020, including Sweden (103.7%), Germany (103.5%), Denmark (103.5%), France (103.0%), Finland (102.0%), Italy (101.5%), Belgium (100.9%), Spain (100.5%), Austria (100.4%) and Croatia (100.4%).
• Ireland had the second lowest ratio of GNI to GDP at 75.9%, among the listed countries that data was available for in 2021, after Luxembourg (69.8%). This can be attributed to the importance of foreign direct investment into the Irish economy and the concentration of large multinationals. 
• Four countries in the EU27 had a GDP and GNI of greater than one trillion euros in 2021 – Germany, France, Italy and Spain.
• Germany had both the highest GDP and GNI in the EU27 in 2021 at €3.6 trillion and €3.7 trillion respectively. Malta had the lowest GDP at €15.0bn and GNI at €13.7bn.

By country: GDP growth rates

• For this section 2022 data is available. In 2022, Ireland had the highest annual GDP growth rate in the EU27 at 12.0%, followed by Malta at 6.9% (see Table 2.3). 
• In 2020, the average GDP change rate for the EU27 was negative at 5.6%, before returning to positive growth of 5.4% in 2021 and 3.5% in 2022. Ireland's GDP grew by 6.2% in 2020, by 13.6% in 2021 and then by 12.0% in 2022. 
• Estonia was the only country in the EU27 (of the 26 for which data was available) which saw a negative change rate in GDP in 2022, of -1.3%.
• Ireland’s GDP growth rate was 0.0% in 2012, then had positive growth every year to 2022 (see Figure 2.4). GDP growth peaked in 2015 at 24.4% which was attributed to the globalisation activities of a small number of companies. 

By country: GDP per capita in Purchasing Power Standards

• Ireland had the second highest GDP per capita in Purchasing Power Standards (PPS) in 2021, at 219 or 119% higher than the EU27 average. This measurement adjusts for price differences between countries to give an indication of relative economic prosperity.
• GDP per capita in PPS in Ireland increased from 131 in 2011 to 219 in 2021. There was a particularly sharp increase from 138 in 2014 to 181 in 2015 due to the globalisation activities of a small number of multinational companies.
• Modified Gross National Income (GNI*) is an indicator which excludes certain globalisation effects to give a more accurate measurement of the size of the domestic Irish economy. Ireland’s GNI* in PPS increased to 120 in 2021.
• Luxembourg had the highest GDP per capita in PPS in the EU27 in 2021 at 268, while Bulgaria had the lowest GDP per capita at 57.
• Sixteen countries had a GDP per capita in PPS below the EU27 average. These included 12 countries that joined the EU27 in 2004 or later, in addition to Italy, Spain, Portugal and Greece. Malta's GDP per capita was at the EU27 average.

By country: General government consolidated gross debt

• Ireland’s general government consolidated gross debt as a percentage of GDP increased from 110.5% in 2011 to a high of 119.9% in 2013 (see Figure 2.6). It then dropped for six consecutive years to 57.0% in 2019, before rising slightly in 2020 to 58.4%. In 2021 it fell to 55.4%.
• In 2021, Ireland had the 16th highest government debt to GDP ratio in the EU27 at 55.4%. However, as a percentage of modified Gross National Income (GNI*), Ireland had the eighth highest government consolidated gross debt at 100.9% (see Table 2.5). 
• Ireland’s debt to GDP ratio of 55.8% was over 32 percentage points lower than the EU27 average of 87.9% in 2021, but its debt to GNI* ratio was 13 percentage points higher at 100.9%.
• The highest debt to GDP ratio in the EU27 in 2021 was in Greece at 194.5%, while the lowest was in Estonia at 17.6%.

By country: Public balance

• In 2021, Ireland’s public balance, the ratio between government spending and income was -1.7% of GDP and -3.0% of GNI*. A negative balance indicates a deficit, i.e. net borrowing exceeded net lending (see Table 2.6).
  
  
• Ireland’s public balance deficit in 2021 was smaller than that of the EU27 average of -4.6% of GDP. In 2020 Ireland’s public balance was -5.0% of GDP and -9.4% of GNI* compared with an EU27 average of -6.7% of GDP.
  
  
• In 2011, Ireland’s public balance was -13.6% of GDP, but this improved steadily and by 2015 it had fallen within the 3.0% deficit limit established by the EMU Stability and Growth Pact. The balance was marginally positive in 2018 and 2019 (see Figure 2.7).
  
  
• The only countries with a public balance surplus in 2021 were Denmark at 3.6% and Luxembourg at 0.8% (i.e. net lending exceeded net borrowing). Malta had the biggest deficit at -7.8% and was one of 15 EU27 countries that exceeded the 3% EMU limit.

Ireland: General government total expenditure

• General government total expenditure decreased in Ireland from €81.1bn in 2011 to €72.9bn in 2013, before increasing to €76.4bn by 2015. It fell slightly to €75.9bn in 2016 and then grew for the next five years, most notably in 2020 when it increased by 18% to €102bn. In 2021 it increased by 4% to €105.8bn (see Table 2.7).
• Government spending as a percentage of GDP in Ireland decreased from 47.2% in 2011 to 24.3% in 2019. It increased again in 2020 to 27.3% and then reduced to 24.8% in 2021.
• Government spending as a percentage of GNI* followed a similar pattern, decreasing from 63.6% in 2011 to 41.1% in 2019. It increased again to 51.0% in 2020 and then reduced to 45.2% in 2021.

By country: Gross fixed capital formation

• Gross Fixed Capital Formation (GFCF) in Ireland was 23.3% of GDP in 2021, the 10^th highest in the EU27, and slightly above the EU27 average of 22% (see Table 2.8).
• As a percentage of GNI*, Ireland’s  investment in capital formation was 42.4% in 2021, down from 79% in 2020 and 91.9% in 2019.
• Greece had the lowest GFCF (as a percentage of GDP) within the EU27 in 2021, at 13.3%, and Estonia had the highest at 28.9%.

By country: Current account balance

• In 2021 Ireland had a current account surplus of 14.2% of GDP, the highest in the EU27. The next highest were Denmark at 9.0%, Germany at 7.4% and Netherlands at 7.2% (see Table 2.9).
• Ireland’s current account surplus was 25.9% of Modified Gross National Income (GNI*) in 2021. 
• Fifteen countries (including Ireland) in the EU27 had a current account surplus in 2021. Twelve countries had a deficit, namely: Romania, Cyprus, Greece, Malta, Latvia, Hungary, Slovakia, Estonia, Poland, Portugal, Czechia and Bulgaria.

By country: Exports of goods and services

• Exports of goods and services were 134.4% of GDP in Ireland in 2021 (see Table 2.10). This was the second highest in the EU27, after Luxembourg (208.1%).
• In Ireland exports of goods and services decreased slightly from 248.6% of GNI* in 2020 to 245.0% of GNI* in 2021.
• France had the lowest percentage of exports in the EU27 in 2021, at 31.2% of GDP.
• Every country in the EU27 except Malta had an increase in exports as a percentage of GDP between 2020 and 2021.

By country: Imports of goods and services

• Imports of goods and services to Ireland were 95.0% of GDP in 2021, the third highest in the EU27. This was a decrease from 114.4% in 2020 (see Table 2.11).
• As a percentage of GNI*, Ireland's imports were 173.2% in 2021, down from 213.3% in 2020.
• The high level of imports and exports relative to national income reflects the fact that Ireland's economy is very open (see Table 2.10 for data on exports).
• Two countries had imports greater than 100% of their GDP in 2021 – Luxembourg (173.4%) and Malta (120.6%).
• Italy had the lowest imports as a percentage of GDP in the EU27 in 2021, at 30.3%. All EU27 countries except Ireland and Malta saw an increase in the ratio of imports to GDP in 2021.

By country: Harmonized Index of Consumer Prices

• Ireland and Finland had the sixth smallest percentage increase in consumer prices in the EU27 between 2018 and 2022, at 11.1%, below the EU27 average of 14.7% and the Eurozone average of 12.8% (see Table 2.12).
• Hungary had the highest percentage increase in consumer prices in the EU27 between 2018 and 2022 at 29.6%, followed by Lithuania at 28.5% and Estonia at 26.8%. Greece had the lowest at 9.1%.
• All countries in the EU27 experienced a sharp rise in consumer prices between 2021 and 2022. Countries in Eastern Europe were most affected with prices increasing by 19.4% in Estonia, 18.9% in Lithuania, and 17.2% in Latvia.
• Consumer prices in Ireland, Portugal, Cyprus and Sweden rose by 8.1% in 2022 which was below the EU27 average of 9.2%. France had the lowest percentage increase in consumer prices at 5.9%.

By country: Comparative price levels of final consumption by private households including direct taxes

• In 2021 price levels for consumer goods and services in Ireland were 43.8% higher than the EU27 average (see Table 2.13).
• Ireland had the highest prices in the EU27 in 2021 at 143.8% of the EU27 average followed by Denmark at 143.1% and Luxembourg at 136.4%.
• In 2011 prices in Ireland were the fifth highest in the EU27 at 21.2% above average (see Figure 2.9). Price levels in Ireland relative to the EU27 average increased each year since then.
• Romania had the lowest comparative price levels in 2021 with prices just over half the EU27 average at 54.9%.

By country: Employment rates by sex

• The employment rate in Ireland was 69.8% in 2021, slightly above the EU27 average of 68.4%. The Netherlands had the highest employment rate in 2021 at 80.1%. The lowest rate of employment was in Greece, at 57.2% (see Table 2.14).
• The employment rate in Ireland fell from 60.0% in 2011 to 59.9% in 2012, before increasing annually to 69.5% in 2019. The rate dipped to 67.7% in 2020, then increased to 69.8% in 2021 (see Figure 2.11).
• The male employment rate in Ireland rose from 63.7% in 2012 to 75.0% by 2019, before falling to 73.2% in 2020. In 2021 it increased to 74.3%. The employment rate for females followed a similar pattern, rising from 56.2% in 2012 to 64.2% in 2019, before falling to 62.4% in 2020. In 2021 it rose to 65.5%.
• Across all countries in the EU27, there was a higher rate of males in employment than females. The average gender differential across the EU27 was 9.9 percentage points in 2021.
• The gender differential in Ireland in 2021 was 8.8 percentage points. Romania had the highest gender differential at 18.6% while Lithuania had the lowest at 1.0%.

By country: GDP in PPS per hour worked

• GDP in PPS per hour worked can be considered a measure of labour productivity per hour worked. When the foreign sector is excluded, Ireland's GDP per hour worked in PPS was 20.6% higher than the EU27 average in 2021 (see Table 2.15).
• Labour productivity in all sectors in Ireland increased from 39.1% to 79.6% above the EU27 average between 2014 and 2015. This large increase can be mainly attributed to the impact of globalisation on GDP (see Tables 2.1 and 2.3). There was further strong growth in 2020 and 2021.
• Bulgaria had the lowest labour productivity in the EU27 in 2021 at 52.5% of the EU27 average.

By country: Unemployment rates by sex

• In 2021, Ireland had a total unemployment rate of 6.2%, which was below the EU27 average of 7.0%. This was the joint tenth lowest unemployment rate in the EU27 along with Estonia and Austria (see Table 2.16).
• In Ireland, the male unemployment rate in 2021 was 6.3%, and the female rate of unemployment was 6.2%. This resulted in a gender differential of 0.1%.
• The female unemployment rate in the EU27 was 7.4% compared to 6.7% for males, resulting in a gender differential of -0.7%. A total of fourteen countries in the EU27 had a female unemployment rate higher than that of males.
• Poland was the only country in the EU27 with no gender differential in unemployment in 2021.
• Czechia had the lowest unemployment rate in the EU27 in 2021, at 2.8%, while Spain had the highest at 14.8%.

By country: Long-term unemployment rates by sex

• In 2021, Ireland had a long-term unemployment rate of 1.8%, below the EU27 average of 2.8% (see Table 2.17).
• In the EU27, Czechia and the Netherlands had the lowest long-term unemployment rates in 2021 at 0.8%, and Greece had the highest at 9.2%.
• In Ireland, the male long-term unemployment rate was 2.0% compared to 1.5% for females, resulting in a gender differential of 0.5 percentage points.
• The country with the highest gender differential in the EU27 in 2021 was Greece at -5.6 percentage points (female long-term unemployment was higher than male).
• Poland was the only country in the EU27 with no gender differential in the long-term unemployment rate.

By country: Population aged 18-59 living in jobless households

• In Ireland, 8.4% of persons aged 18-59 lived in jobless households in 2021. This was below the EU27 average of 9.3% and the Eurozone 19 average of 9.8% (see Table 2.18).
• Ireland had the eleventh highest percentage of people living in a jobless household in the EU27 in 2021.
• In 2021, Czechia and Malta had the lowest percentage of people living in jobless households at 4.3%, while Italy had the highest at 13.1%.
• The percentage of people aged 18-59 living in jobless households in Ireland increased from 15.4% to 15.7% between 2011 and 2012, dropped to 8.6% by 2019 and then rose to 9.6% in 2020. In 2021, it declined again to 8.4% (see Figure 2.15).

Ireland: Residential Property Price Index

• Residential property prices reached a low point nationally in 2013 (see Table 2.19), falling 3.4% compared to 2012, but have more than doubled since then, increasing by 110.3% between 2013 and 2022 (January values).
• In Dublin, residential property prices recovered slightly earlier than the rest of the country, rising 4.6% between 2012 and 2013, and then by another 104.8% between 2013 and 2022. The total increase between 2012 and 2022 was 114.3%.
• Property prices in the rest of Ireland decreased by 10.4% between 2012 and 2013, but subsequently increased 111.5% between 2013 and 2022.

Ireland: New Dwelling Completions

• New Dwelling Completions is a measure by the CSO of housing and construction in Ireland. It combines multiple data sources to provide a more accurate assessment of the number of new dwellings (see Table 2.20).
• The number of new dwellings completed in Ireland decreased from 4,911 in 2012, to 4,575 in 2013. It then rose to a total of 21,130 in 2019, before falling slightly in 2020 and 2021. In 2022 it rose to 29,851.
• In 2022 there were 5,522 new single houses built, 15,163 new scheme houses, and 9,166 new apartments.
• The number of new dwellings completed in 2022 increased by 508% compared to 2012. The number of new apartments completed rose by 1,955%, scheme houses by 1,473%, and single houses by 58%.