Ireland could be disproportionately affected by Covid-19 related disruption worldwide because of its position as a small open economy, the National Competitiveness Council (NCC) said.
It said that with a trade-to-GDP ratio significantly above the EU average, Ireland is very exposed to global economic conditions.
In its latest competitiveness scorecard, the council also warns that Ireland is entering this unprecedented economic period as a highly indebted country.
It said the State's fiscal deficit and debt position are likely to deteriorate significantly as a result of the huge surge in spending and collapse in tax revenues due to the Covid-19 pandemic.