Like many other countries from both sides of the Atlantic, Ireland is reconsidering its economic growth goals. For those unfamiliar with the last decade of its development, economic growth of 3-4% may seem quite spectacular, especially compared to the 'recession' mood in the United States and the almost flat growth in some key Eurozone countries. For a country like Ireland, almost accustomed to see above 6-7% annual growth for the last 10 years, such sudden change cannot be met without certain worry. To add some elements of drama in all this, the construction activity is down by almost a double-digit percentage point. The local consumer market, although upbeat, would hardly be sufficient to eliminate the threats coming from the main export markets, and Ireland's phenomenal growth in the recent years is due primarily on its export potential.

When people ask what made Ireland from one of the poorest into one of the richest countries in Europe, the answer invariably points out at the massive investments in education made by several governments in a row beginning after the World War II, and especially after the EU membership since the 1970s. The second part of this answer points out at the fact that the population is English-speaking, making substantially easier for American and British multinational companies to invest in this particular country. This answer is good, but not sufficient to explain the phenomenal growth of Ireland, one of the richest countries in the world today.

Two additional reasons would make the picture somehow clearer. First, Ireland, by being until recently at the margins of the economic mainstream, decided to open widely its market and society for newest technologies, and the time of this openness coincided with the internet revolution; within many of the largest American and British multinational corporations there are top executives of Irish origin, which made the investments, once there was a political go-ahead, a matter of simple formality. Second, Ireland decided to uphold the historic peace process in Northern Ireland, thus paving the way for being considered as more stable and predictable international partner.

But now, exactly 10 years after this historic agreement, international clouds of economic recession make this almost perfect picture not so realistic for the future. The growth rates are falling; the construction activity is falling too; and the main investors are becoming increasingly cautious. The internal demand is so far keeping the growth up, but it cannot completely replace the export as main economic engine. A good predictor, therefore, for the situation in Ireland, including the volatile real estate market, will be the economic state of affairs in the key markets: North America, and Britain, especially in the high-tech domain.

Country profile:

• Area: 70,280 sq. km.
• Population: 4.1 million (July 2007 est.).
• Net migration rate: 5 migrant(s)/1,000 population (2007 est.).
• Life expectancy at birth: 77.9 years.
• Ethnic groups: Celtic (predominant).
• Religious groups: Roman Catholic (predominant).
• GDP per capita: purchasing power parity $45,600 (2007 est.).
• Population below poverty line: 7% (2005 est.).
• Main trade partners: U.S.A., UK, Germany, and other EU countries.
• Internet users: 1.5 million (2007 est.).

(Source: CIA World Factbook 2008, Reuters)

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See also the directory of companies providing real estate services in, and general real estate information of Ireland.