THE decision this week of an expanding Irish specialist packaging company to bypass the Irish stock market and seek a quotation for its shares in London raises questions about the commercial attitude - if not the patriotism - of domestic financial institutions.

ILP group, which provides packaging for the computer and electronics industry, feels its will have more success with its fund raising in Britain, the perception being that Irish institutions do not favour small Irish flotations. The share placing, which will take place later this month, is likely to value the company at around £16 million.

The government says that the thrust of industrial policy is towards promoting and nurturing indigenous commercial enterprise. The apparent disenchantment of companies like ILP with Irish fund raising does not augur well for the declining influence of a shrinking domestic stock market.