Ireland – Challenges for the Next Decade

Ireland – Challenges for the Next Decade

On 12 February 2020, IRE CB governor on the challenges for the next decade.

  • At the European Financial Forum, CB Governor Gabriel Makhlouf said: “Consumers, businesses and regulators should expect, and plan for, more frictions and divergence.”
  • He also discussed the main challenges facing the Irish economy over the next decade.


  • UK withdrawal from single market represents a major change for the Irish economy.
  • Uncertainty is affecting confidence with main trading partners showing weaker growth.
  • Yet most recent data indicate Irish economy continued its strong trend growth in 2019.
  • Economic impact of new UK trading arrangements will depend on how they differ from current ones, but the new EU/UK economic relationship will lead to greater challenges.
  • Businesses, consumers and regulators should use transition period to plan for change.


  • Adds to existing global uncertainties and risks, with potential for a negative shock in terms of short term international economic growth, inevitably affecting Ireland.
  • Any negative impact on overall world demand will also have impact on Irish exports.
  • As a small, open economy Ireland is particularly exposed to disruption in world trade.

CB Activities

  • Reviewing key frameworks to ensure they are fit for purpose for the decade ahead, including microprudential, macroprudential and frameworks for consumer protection.
  • This will include examination of European frameworks in addition to domestic ones.
  • Assessing stakeholder engagement and identifying best practice in order to ensure an inclusive, consistent and comprehensive approach to how it engages, and with whom.