Ireland: Irish Services Growth at 19-Month Low.

The AIB Ireland Services PMI declined slightly to 50.6 in August 2025, down from 50.9 in July, marking the lowest level since January 2024. Employment fell at the fastest rate since October 2020, as the volume of outstanding business declined for the second time in three months due to subdued demand. Only two sectors registered growth in activity during August. Technology, media & telecoms recorded a faster expansion than in July, while business services posted only modest growth. Although new business grew at the fastest pace in three months, the rate of expansion remained well below the long-run average. On the price front, input cost inflation accelerated to a four-month high, driven by higher wages, insurance, freight, and IT costs. As a result, selling prices rose at the fastest pace in three months and remained above the long-run trend. Looking ahead, business sentiment improved, supported by investment in new products and services, economic recovery, and new technologies.