Up to 150 jobs are to be created with the opening of a new business services centre by a major pharmaceutical firm in Dublin.
MSD is establishing its European, Middle East and Africa (EMEA) shared business services centre in the capital, a move that has been described as a "strategic win" for the economy by Taoiseach Brian Cowen.
MSD, which merged with Schering-Plough, employs about 2,300 people in its operations in Wicklow, Carlow, Tipperary, Cork and Dublin.
Speaking at the announcement of the new centre, Mr Cowen said the news was welcome to the people of Dublin and the surrounding areas.
"Shared services activities are of great importance to the pharmaceutical sector in Ireland and they are fully in keeping with the Irish Government and IDA Ireland's policy of supporting transformation within foreign direct investment companies," he said.
"The new centre, along with both MSD's and Schering-Plough's existing RD&I and manufacturing operations here, demonstrate the critical importance of adding other strategic functions across the value chain to enhance the longevity of subsidiaries and their strategic importance to their parent corporation."
The pharmaceutical industry employs about 20,000 people in Ireland, and eight of the top 10 pharmaceutical firms have operations in Ireland.
MSD said recruitment for the new positions would begin shortly. Vice president of shared business services Stacey Gelman said the decision to locate the centre in Dublin was taken after careful consideration.
" We believe Ireland offers the best combination of factors to ensure the success of the centre with a strong track record in the successful execution of complex projects such as this and an excellent business environment for the pharmaceutical and financial shared services industries," she said.
"Other factors include the quality of Ireland's educational system, quality of life, its highly educated workforce with excellent language skills, and its proximity to European markets."
Mr Cowen pledged continued investment in education to ensure the necessary supply of skilled graduates to allow firms such as MSD to grow.
"The Government's objective of building a smart economy depends on continuing to attract investment from companies like MSD, and helping them to move into new, higher value areas of activity. We want to make Ireland a global innovation hub - the best place in Europe to locate and grow an innovative company. This is an ambitious, but achievable goal," he said.
