Dublin Economic Monitor

The latest Dublin Economic Monitor shows that economic momentum in the Capital remained positive in early 2026. Business activity strengthened sharply in Q1, recording its strongest reading since 2022, while retail spending, tourism activity and housing commencements all increased further. It is also encouraging to see a recovery in inward investment activity during the quarter, with both FDI capital investment and job creation increasing. At the same time, the data points to some easing in labour market conditions, with unemployment rising and hiring activity softening. Nonetheless, the broader outlook for Dublin’s economy remains positive.

Dublin acted as a growth engine for the Irish economy in the opening quarter of 2026, posting much sharper increases in output and new orders than had been seen at the end of 2025. In fact, the expansion in the capital contrasted with a slight fall in business activity across the Rest of Ireland. Whether the strong performance over the opening quarter will continue into Q2 remains to be seen, with companies now having to contend with higher prices, supply-chain disruption and economic uncertainty as a result of the war in the Middle East.