The document summarizes the state of the Irish economy and the challenges it faces. It notes that Ireland is experiencing a deep recession with deteriorating public finances, a weakening labor market, and uncertainty in the banking system. Unemployment is rising significantly across many sectors. The outlook for 2009 predicts unemployment will continue rising and public finances and consumer spending will worsen further. Recovery in 2010 depends on international factors and stabilization of the housing market. Limerick faces particular vulnerabilities from its reliance on industries hit hardest by the downturn like construction and manufacturing.

1. NEW IDEAS CONFERENCE, LIMERICK. Jim Power, Chief Economist, Friends First 25th March 2009

3. Ireland - Unemployment

4. Sectoral Labour Market Changes Sector Change Q4 07 to Q4 08 Agriculture F&F -2,700 Other Production -12,400 Construction -45,900 Wholesale & Retail Trade -18,200 Hotels & Restaurants -10,500 Transport, Storage etc +900 Financial & Business Services -11,600 Public Admin. & Defence +600 Education +6,300 Health +3,500 Other services +3,100 Total -86,900 Source: CSO

6. Ireland Economic Forecast Average 2008e 2009f 2010f GDP -2.0% -4.5% -2.0% GNP -2.5% -6.6% -2.0% Consumption -2.0% -6.5% -3.0% Investment -20.0% -25.0% -10.0% Government 3.0% 0.0% 0.0% Exports 2.0% -1.0% 1.5% Imports -2.0% -5.0% -1.0% Consumer Price Inflation 4.5% -3.0% -2.0% Unemployment (average) 6.3% 12.5% 14.0% e=estimate f=forecast

7. LIMERICK & THE MID-WEST

11. Live Register Trends

12. Employment by Sector SECTOR MID-WEST NATIONAL AVERAGE Agriculture F&F 7.6% 5.5% Manufacturing 17.5% 13.9% Construction 13.2% 13.2% Wholesale & Retail 15.1% 14.5% Hotels & Restaurants 5.8% 6.1% Transport etc 6.2% 5.7% Financial & Other Business Services 9.4% 13.8% Public Admin. & Defence 4.4% 5.2% Education 6.7% 6.1% Health 8.8% 10.2% Other Services 5.3% 5.8%

21. THE ROAD TO NATIONAL RECOVERY!