The number of jobs created by foreign direct investment (FDI) here increased by 56 per cent last year, according to a report published today by Ernst & Young.
Over 6,300 jobs were created through FDI in Ireland in 2008 icompared to just over 4,000 in 2007.
The firm’s seventh annual 2008 Country Attractiveness Survey places Ireland 9th overall in its list of the top 15 most attractive destination for inward investment in Europe.
108 FDI projects were announced here in 2008, up 35 per cent on the 80 announced in 2007. The largest investor in Ireland remained the US with 61 projects. It was followed by 20 UK investments, five German investments and three French investments.
Key areas for investment included business services (19 projects); software (13 projects); scientific instruments (10 projects); electronics (9 projects); pharmaceuticals, insurance, pensions and financial intermediary services (7 projects each); with additional investments made in areas including telecommunications, publishing and food services.
Ireland’s attractiveness as a location for FDI was in strong contrast to overall European figures which show that inward investment into Europe was flat in 2008, demonstrating the global recession’s toll on investment projects into the region.
The report, which examines figures for international investments into Europe as well as new projects or expansions, revealed that in 2008 Europe secured 3,718 investment announcements, six more projects than in 2007.
The number of projects remained steady but the impact of the impending recession on new employment was severe. The number of jobs created fell 16 per cent to 148,333, accelerating a downward trend underway since 2004.
Ernst & Young's Head of Tax Services, Kevin McLoughlin, said Ireland was attractive to foreign investors because of its low corporate tax and skilled workforce.