GENERAL INDUSTRY NEWS

Manufacturing sector decline after recent rapid growth

Business Post – 02.09.2020

The manufacturing sector here posted its third consecutive month of expansion in August, but growth slowed from a near two-year high seen in July, a survey from AIB showed. The AIB IHS Markit manufacturing Purchasing Managers' Index (PMI) slipped to 52.3 in August from 57.3 in July, but remained above the 50 level that denotes growth. In April, Covid-19 restrictions had pushed the index to a 10-year low of 36.

Exchequer deficit climbed to €9.5bn by end of August

RTE Business – 02.09.2020

The public finances recorded a deficit of €9.5bn at the end of August according to the latest Exchequer Returns. This compares to a deficit of €625m recorded at the same point last year. The €8.8bn deterioration is largely due to increases in government spending. The increase in spending is concentrated in the departments of Health and Employment Affairs and Social Protection. Compared to last year, there has been an increase in overall government spending of 28% or €9.46bn. But tax revenues continue to come in better than expected. Tax revenue in August was only down marginally by €11m or 0.4% compared to August of last year.