Slump in exports fuels forecasts of recession

MORE economists are now expected to forecast recession in the economy this year, after a new survey found that the vital services sector shrank at the fastest pace in at least eight years last month. With the last hopes for growth centering on service exports, the NCB Stockbrokers survey of purchasing managers found that new work from abroad fell for the sixth month running in June and at the fastest rate of decline for over five years. Managers suggested that the strength of the euro and worsening global economic conditions had caused the fall in new export orders. Last week, the Central Statistics Office reported that services business declined in the first three months of the year. This was in line with the monthly NCB survey, which has been signalling a decline since February. On Wednesday, the Department of Finance said... [read full story]