Taoiseach emphasises Irish competitiveness

Taoiseach Brian Cowen today insisted Ireland remains one of the best locations in the world for foreign investment despite the current downturn.

In an address to senior US political and business figures at the New York Stock Exchange, Mr Cowen said the level of foreign direct investment in Ireland, relative to the size of our economy, was one of the highest in the world.

He emphasised that overseas investment between Ireland and the US was now a two-way flow, with Irish companies employing over 80,000 people across all 50 States.

On his first official visit to the US since becoming Taoiseach, Mr Cowen was given the honour of ringing the opening bell at the exchange this morning.

He said that the Irish economy had been transformed by the decision of over 1,000 multinational companies to set up in Ireland.

US business represented the biggest component of this investment, Mr Cowen said.

”We understand the importance of taxation for international business. Ireland operates a highly favourable fiscal environment that offers one of the most beneficial corporate tax environments in the world,” he said.

“The low rate of corporation tax enables companies to retain 87.5 per cent of their profits, which can be reinvested to strengthen competitiveness and enhance shareholder value."

But while foreign investment laid the groundwork for developing the modern Irish economy, today the main thrust of Ireland’s economic, industrial and export growth comes from Irish-owned enterprises, Mr Cowen said.

He noted that Irish companies now played a key role in the US economy, noting that last year alone, 47 Irish companies opened a US office and more than 50 companies had a presence in New York.

“The United States is a priority market for Ireland’s fast-growing high-tech sector and the profile of Irish-owned companies selling into the US has changed in a big way," Mr Cowen said.

“The growth in quality Irish consumer product sales has been matched and subsequently outpaced by a surge in Irish industrial products and services in ICT, the life sciences and other high technology sectors,” he said.

The event was organised by Enterprise Ireland which took the opportunity to announce that contracts to the value of €12 million were concluded between a number of Enterprise Ireland client companies and their US customers.

Mr Cowen said: “Enterprise Ireland now invests in over 70 start ups annually and these are winning key reference sites in the USA due to innovative technologies and services."

Mr Cowen is in New York for a series of meetings with political and business figures, including Mayor Michael Bloomberg.

He is also visiting the World Trade Tribute Centre, where he will remember those who were killed and injured on September 11th, 2001.

The Taoiseach is also attending a reception hosted by the Consul General in New York for the Irish community. He also scheduled to hold meetings with groups campaigning for immigration reform and to assist the undocumented Irish in the US.