Signs of hope as budget day nears

The impact of Covid on the economy this year is expected to be less severe than previously thought.

The Department of Finance says GDP will likely fall by 2.5 per cent in 2020 - compared to the last forecast of a 10 per cent hit. That's mainly due to a surge in exports from the pharmaceutical sector. The unemployment rate is expected to be 16 per cent at the end of this year - falling to 10 per cent in 2021.