Bernard Durkan (Kildare North, Fine Gael)
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Question 149: To ask the Minister for Enterprise, Trade and Employment if Ireland remains sufficiently attractive for foreign inward investment; and if he will make a statement on the matter. [15848/08]

Micheál Martin (Cork South Central, Fianna Fail)
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The level of foreign direct investment (FDI) in Ireland, relative to the size of the economy, is one of the highest in the world. Today, in Ireland, there are over 1,000 IDA supported companies employing in excess of 136,000 people. While competition for FDI continues to be relentless, Ireland continues to punch above its weight when it comes to attracting overseas investment. While our costs may be higher now, the strategy we have put in place in response to this is to position the country as a location for more advanced activities, with more qualified and better paying jobs in many of the leading companies in Pharmaceuticals and Biotechnology, Medical Technology, Financial Services, International Services, Digital Media and ICT sectors.

The 2007 business environment ranking of the Economist Intelligence Unit placed Ireland 10th globally out of 82 countries, naming it as one of the most attractive business locations in the world. One of the Government's main tasks is to ensure that Ireland remains an attractive place to do business. In that regard, we work to maintain and enhance our competitive conditions, and to promote new areas of competitive advantage. In line with the NDP and the Programme for Government, we are developing our R&D base and investing in critical physical and communications infrastructures. In addition, we are promoting tertiary education and lifelong learning as well as up-skilling to improve labour market flexibility.

The overall objective for the future must be to place Ireland at the leading edge of the global economy in specific competencies or industry niches, where we can be a prime location for high value activities. This means not relying solely on an individual project focus, but rather on fostering the development of clusters of excellence in which technology companies, education and research institutes, venture capital and business service providers all form a network to create a self-reinforcing climate of innovation and entrepreneurship. I am satisfied that the policies being pursued by Government together with the sterling work being done by IDA Ireland will continue to bear fruit in terms of continued foreign direct investment and I am confident that Ireland is well positioned to win further leading FDI in 2008 and the years beyond.