Bernard Durkan (Kildare North, Fine Gael)
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Question 162: To ask the Minister for Enterprise, Trade and Employment the number of new enterprises, small, medium or large which have been set up throughout the country in each of the past three years; and if he will make a statement on the matter. [24114/06]

Micheál Martin (Cork South Central, Fianna Fail)
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Figures are not available for overall numbers of enterprises established in the economy over the last three years. The performance of the enterprise development agencies, however, gives an indication of the relative strength of the economy. From 2003 to 2005, 2,025 new start-up projects were approved for grant assistance by the County and City Enterprise Boards. Of these 724 start-ups were approved for assistance in 2003, 618 in 2004 and 683 in 2005. (Grant approval does not always indicate a viable subsequent start-up, so these figures should only be taken as indicative).

In 2005, Enterprise Ireland supported the establishment of 75 new export-focused high potential companies, which had a total investment of €83m (Enterprise Ireland approved funding of around €17 million). In 2004, Enterprise Ireland supported the establishment of 65 new export focused high potential companies involving a total investment of €80m (around €18 million approved by EI) and 61 new high growth potential start-up businesses in 2003 involving a total investment of €75 million (support in the region of €14 million provided by Enterprise Ireland). In 2005, Shannon Development supported 38 start-ups in the mid-west region, 21 of which were HPSUs. This compares to 10 projects in 2004 with a job potential of 200 over 3-5 years and 11 in 2003 with a similar job potential.

During 2005, 20 new start-ups were supported by IDA. In 2004 there were 24 such start-ups, in 2003 there were 27. Moreover, in 2005, IDA negotiated 71 new business projects with new and existing clients, involving a total investment over the coming years of more than €760 million, with 46 of these locating outside Dublin. In 2004, 70 new business projects were negotiated with new and existing clients, which involve a total investment over the coming years of over €5 billion. Some 64 projects were negotiated and secured by IDA during 2003. In the period in question Shannon Development supported 2 start-ups in the Shannon Free Zone and a number of FDI companies also expanded their operations.

Ireland is one of the leading countries in Europe in terms of entrepreneurship, with levels of early stage entrepreneurial activity approaching those of the US. Research suggests that almost one in ten of the population living here is actively planning or has recently set up a new business. The recently published report of the Small Business Forum, Small Business is Big Business, examines the issues and challenges currently facing the small business sector and makes a number of key recommendations designed to enable the small business sector to achieve its full potential and enhance the significant contribution the sector already makes to the economic well-being of our country.

In the context of the various pressures affecting global markets during the period, our overall economic performance is one of which we should be proud. Having said this, we must remain proactive in the context of maintaining and developing our competitive advantages. One of my Department's principal tasks is to ensure that Ireland continues to be an attractive place to do business, and to support the development of economic competencies higher up the value chain. In that regard, we have made significant efforts to maintain and enhance our framework competitive conditions, and to promote new areas of competitive advantage, such as developing our R&D base.