The Irish economy was seriously affected by the international financial crisis because of its extensive in-sourcing, its high level of financialization and the importance of real estate in the active economy.  It was the first European country to go into recession and it should restore a positive growth in 2011.  From -7.6% in 2009, the contraction of GDP was reduced to -0.3% in 2010, due to the slow progress in the exports of chemical and pharmaceutical products. 

In the context of a reduction of fiscal revenues and an increase in social costs, the priority of the government remains in restricting expenditures, reorganizing public finance, stabilizing the bank system and improving competitiveness.  The objective is to bring the public deficit to 3% of GDP from now until 2014, against 12.8% where it stands now.

The unemployment rate, which was low in 2007, started to rise since 2008 and could reach more than 13% today.

Agriculture remains a key sector despite its small part of the GNP (3%).  The government is trying to consolidate its role in the economy by modernizing it and by expanding the food-processing industries (beef, dairy products, potatoes, barley and wheat).
Ireland’s recent industrial development has been achieved by an intentional policy promoting high-tech companies to export and, in part, by offering attractive packages to investors. This sector contributes to more than one third of the GNP. Textiles, chemical and electronic products have, in particular,  obtained high results.
The service sector (approximately two-thirds of the GNP), banking and finance have experienced  such a large growth that Dublin counts now with a sizable international financial center and tourism has become a substantial source for foreign exchange revenues (5% the GNP).

Ireland is a very open economy and therefore very dependent on international situations. During the period 2007-2009, trade represented 156.5% of the GDP. 

After the international economic crisis, the structural trade surplus strongly increased due to the fall of imports combined recently with some resistance in exports. 

The main imports are machinery and equipment, oil and petroleum products, textiles and clothing. The main exports are computers, chemical and pharmaceutical products, live animals and animal products.

Ireland's main trade partners are the European Union and the United States.

After Sweden, Ireland is the second most attractive country in terms of FDI per European Union capita. The structure of FDI has undergone through a transformation, the low value-added activities have been reduced to the profit of  R & D and upscale services (engineering, information and communications technologies, pharmaceutical products, medical technology).  After having obtained a strong backward flow in 2008 under the effects of the global recession, the FDI picked up again but it still remains weak.  Some  of the appealing assets of the country are an attractive fiscal and legal frame, a high-skilled and multi-cultural work force and a strong relationship with the United States.  However, the country's appeal has been strongly deteriorated by the international crisis and the country has to affront a declining competitiveness.