where taxation will be imposed, is a question for the
government of the day to propose and to negotiate
with the lenders. So I’m not surprised by where
we are.
What do you see as a worst case
scenario?
I don’t see a worst case scenario. We have been
looking for worst case scenarios too much. One
has to look at what one sees as likely to happen.
I think the outlook is better than the worst case
scenarios constantly advanced. The reality is that
inward investment has accelerated and our cost
competitiveness has improved. The budget deficit
has improved over the last 6 months. Taxation
receipts are up. Expenditure cuts are biting, and it
seems to me that while there is a hard road ahead,
the downside prospects have been overstated to an
extent that is damaging both in terms of the internal
and external perspective of where we are.
I spent the morning recently addressing the staff
of Google. All you have to do is look at Google
or Facebook and look at what is happening in that
whole space, in which we are now a significant
player, as indeed we are in the pharmaceutical sector
and IT more generally. I think that there are major
positives going on in this country which are being
ignored.
Our exports are up by 5.4%. Our total
manufacturing increased by 12.5%. Last year there
were 72 new foreign direct investments, which is
up 50% on the preceding year. US investment in
Ireland is greater than US investment in the entire
BRIC group of countries. This is a small country
and we are still doing well in important respects.
Tax returns are positive, with a deficit forecast from
2010 of 11.5%, whereas only 2 or 3 months ago,
it was forecast at 11.9%. There is a momentum of
positive change.
Also, IBM’s Global Locations Trends predictions
for 2010 have Ireland ranked number one in the
world for inward investment.
In your experience, how is Ireland
perceived by international business
leaders?
Well, the best evidence of that perception is the
fact that there are 960 foreign companies that have
invested in Ireland. They have all done so and
persist in doing so because they have a positive
view of Ireland. I think that that’s generally
the impression I get everywhere. Our previous
deficiencies in areas like infrastructure have
improved greatly in recent years. The reality is that
our infrastructure is now reasonably good, in terms
of airports and roads and increasingly in telecoms.
I think the overall view is demonstrated by the fact
that IBM has us ranked number one. They must be
following a trend that they’re being told about.
What advantages are there for
companies investing in Ireland?
The obvious advantages to investment in Ireland
are an educated labour force, English speaking, we
are part of the EU, and more particularly – part of
the Eurozone, which distinguishes us, for example,
from Britain.
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