Employment in IDA-supported companies rose by nearly 3,800 in 2006, bringing total employment to 135,487, according to IDA Ireland's end-of-year statement.
Last year, 11,846 jobs were created by IDA-backed firms, while around 8,000 jobs were lost. But net jobs growth was greater than last year and the best since 2000.
Seventy-one new business projects were negotiated with new and existing companies, involving investment of €2.6 billion over the coming years, it said. Of that number, 39 were greenfield projects, while 32 involved expansion by companies already here.
With Amgen and Eli Lilly setting up in Ireland, the country was now the location of choice outside the US for development and manufacture of the newest drugs, IDA Ireland said.
"We are also the place in Europe for digital media, with Amazon in Cork and Dublin, and Google in Dublin growing rapidly, along with other leaders such as eBay/Paypal and Yahoo."
Investment in research & development (R&D) continues to increase, with 54 R&D investment projects supported by the agency in 2006, involving a total investment of almost €470 million. The corresponding values were €140 million and €260 million in 2004 and 2005 respectively. More than 50 per cent of jobs in new IDA-supported projects in 2006 have wage and salary levels of more than €40,000 per annum.
Reflecting its strategy of balanced regional development, 89 new investment projects were located outside of Dublin city, including 46 R&D investments, IDA Ireland said. In 2006 almost 60 per cent of new greenfield projects, and six out of every seven R&D investments - or 85 per cent - took place outside the capital.
IDA-supported companies spent almost €15 billion in the Irish economy in 2005 from their annual sales of €77 billion and paid over €2.8 billion in corporation tax. Exports were up by 5.7 per cent to almost €73.8 billion.
However, direct expenditure in the economy by IDA-backed firms has fallen over the last three years surveyed. Direct expenditure dropped by 3.8 per cent, from €15.1 billion in 2004 to €14.9 billion in 2005, the latest year surveyed. Spending on Irish materials fell by 7.9 per cent to €3.4 billion in 2005, while spending on Irish services also dropped by 6.5 per cent to €5.76 billion in 2005. Payroll costs rose by 1.9 per cent to €5.7 billion.
IDA Ireland described 2006 as an outstanding year for growth and investments and said that Ireland was now seeking and winning high-value investments.
"In the past we were concerned to add jobs, because employment numbers mattered. Now, while we still add jobs, it is the impact of creating new areas of opportunity and of raising living standards that drives us."
Welcoming the report, Minister for Enterprise, Trade and Employment Micheál Martin said: "Through the delivery of Transport 21, the continuation of pro-job tax policies and the soon-to-be-published new National Development Plan, we will work to ensure that Ireland remains an advanced knowledge economy."
