THE GLOBAL recession has enabled Ireland to enter the top 20 nations in terms of our ability to embrace technology-based opportunities and the digital economy.
The Economist Intelligence Unit’s (EIU) annual ranking of “e-readiness” places Ireland at 18 with a score of 7.84 out of a possible 10. Denmark topped the table of 70 countries with a score of 8.87, while last year’s leader, the US, dropped to fifth.
Ireland broke into the top 20 despite the country’s score falling from 8.03 to 7.84.
Susanne Dirks, head of IBM’s Institute of Business Value which co-operates on the report with the EIU, said it was the first year that average scores had fallen. She said the report contained “very good news” for Ireland as the drop of 0.2 in our ranking was less than the worldwide average of 0.27.
Every country’s overall business environment score, which accounts for 20 per cent of the ranking, fell. The US, Austria and Ireland dropped nearly a full point – equivalent to 10 per cent – while Britain fell nearly 20 per cent in this category. The Republic’s business environment scored 7.62, down from 8.61, with only foreign investment policy getting top marks. There were significant drops in scores for the macroeconomic environment, market opportunities and financing.
The only one of the six categories where progress was made was connectivity and technology infrastructure, which jumped to 8.3 from seven, driven by improvements in broadband penetration and internet-user penetration, although they still lag our northern European neighbours.
Compared with Britain, Ireland had a better business environment but was behind when it comes to Government policy and vision, with a score of just 6.75. Based on 2008 figures, Government spending on technology fell from eight to three, and a similar score was achieved for e-participation, a new subranking which measures citizens’ use of online public services.
Ms Dirks said a lack of official policy and vision could hamper developments. “The Government strategy part has so many impacts on other areas it is the key area I would prioritise.” She also noted, in many countries where governments have introduced an economic stimulus package, spending on technology was a major component, yet Ireland would not benefit from such an investment.
