Brian Cowen (Laois-Offaly, Fianna Fail)

I have explained in previous replies to Deputies that this is not simply about Exchequer-funded money; this about bringing forward a fund to increase interest from venture capital companies in start-up companies in Ireland and perhaps also enticing companies that might otherwise set up in Europe to look at Ireland as a good location for start-up and development of businesses. Much work has been undertaken in this area and this work is ongoing. It is being undertaken by the National Treasury Management Agency personnel and the personnel in my Department and in the Department of Finance.

The Deputy will know this has not been a very good time for venture capital investment because of the recession and the change in the economic climate. However, much detailed work has been ongoing and I still remain confident that this innovation fund can become a reality and that there will be opportunities for small and medium-sized businesses to look to it as a source of capital investment for the future for building up businesses and trying to provide a framework in which those successful start-up companies, in particular, technology-led companies, would consider further investment for expansion and remain in ownership Ireland rather than looking to sell the intellectual property rights attached to many of these companies to bigger operators outside the country. It is a private market and these are business issues at the end of the day but we need to provide an opportunity for people to look at other options for how companies with future real high growth potential are developed in this country.

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