Overview
- The Department of Finance presented its Spring Economic Forecast to Cabinet, outlining baseline, adverse and severe paths linked to the war in the Middle East.
- Officials said the Irish economy is still projected to expand under all three paths, though the pace of growth would slow.
- The severe case points to inflation rising as high as 6.7% within a year, based on oil at $130 a barrel in 2026 and averaging $125 in 2027.
- Simon Harris urged budget surpluses and bigger fiscal buffers as an energy‑price shock feeds through supply chains.
- Ministers signaled possible targeted support, keeping energy credits in play while pushing faster home energy upgrades and more renewables.