IDA Ireland, the inward investment agency of the Irish Government has today reported a very strong first half of 2018. Ireland won a total of 139 projects in the year to date, compared to 114 in the same period last year. These wins will create a total of 11,300 jobs in total, up slightly on last year.
According to Goodbody Stockbrokers, at the start of the year, two opposing forces were in play for FDI. On the negative front, US corporate tax changes posed a threat, while Brexit created a potential positive from an FDI standpoint.
On the former, the IDA notes that while the flow of projects was strong in the first half of the year, there has been a slowdown in decision making recently as companies continue to reassess their plans. On the latter, Brexit has indeed been a benefit, with the IDA estimating that 42 projects were won where Brexit was a factor.
Commenting on the results, IDA Ireland CEO, Martin Shanahan said, “I am particularly encouraged by our progress in China, South Korea and India in recent months with investments from companies like Wuxi (China), SK biotek (South Korea) and Leetha (India). IDA Ireland has invested in Asia over several years now, and I’m glad see that investment paying dividends. As a small open economy, Ireland is heavily exposed to external geopolitical developments. The only way we can guard against this rapid change is by making sure our economy remains competitive."