Why Ireland may have a bright economic future!

Hi all, I hope you are well! Welcome back to my blog. I hope from last week's edition that you now know a bit about me and my background. This week I am going to delve into my first topic which is 10 reasons why Ireland is an attractive place to invest and do business. 

This topic of conversation really interested me from the beginning. As a young adult in Ireland I am well aware of the underlying issues with the Irish economy which have caused so many young people to leave Ireland to places such a Australia & Canada. However, I am also aware of Ireland's good reputation as an ideal location to do business hence our huge numbers of foreign direct investment for many reasons including those listed below:

Young, skilled & educated workforce

Ireland has a staggering 1 million people in full time education and 50% of the population being under the age of  34. This young and most importantly educated labour force is a huge factor in bringing multinational corporations to Ireland.

Low Corporation Tax Rate

Although recently the EU are pushing for Ireland to increase their corporation tax rate to 15%, Ireland hopes to keep the rate at 12.5% as this lower rate portrays Ireland as a more profitable opportunity for corporations.

Strong labour market

Ireland has a very impressive labour market being ranked lowest in the world at having difficulty filling jobs at just 2%. The Irish unemployment rate was 4.3% in August 2023 having falling considerably since the wake of the global financial crash in the early 2010s.

English speaking

Brexit was not only disastrous for the British economy but it also opened up doors for Ireland as the Emerald Isle is now the only recognised English speaking country in the Eurozone. With English being the dominant language in the business world this tie with the Eurozone makes Ireland a great proposition for American companies in particular.

Infrastructure

Ireland has strong infrastructure which has withstood the test of time with 1 out of 3 multinational companies here for over 20 years and half of all multinational companies here for over 10 years. Motorways connect all of Ireland's major cities, although Waterford to Limerick is a route yet to be addressed! I was also pleased to learn during my research that a €165 billion fund has been committed to future infrastructure projects.

Quality of life amongst the workforce

From my work placement I noted that many companies put a huge emphasis on work life balance which is fantastic for employee welfare and their productivity at work. According to the UN HDI, Ireland has the 2nd highest quality of life in the world.

European Union

As I already mentioned Ireland is the only English speaking country in the Eurozone but more importantly is Ireland's status as an EU nation. Ireland allows for access to the Eurozone market which is a single market consisting of 27 countries and a whopping €14.5 trillion GDP in 2021. There are many other benefits of the European Union illustrated in the video below.

Open & diverse population

In the modern world diversity and inclusion have become key objectives for any organisation. 200 different nationalities are represented in Ireland which may be a factor in enticing international companies to set up here.

Fast growing economy

Ireland has the fastest growing economy in the Eurozone. Even throughout the covid pandemic in 2020 Irish nominal GDP grew at a rate of 6.2%. A government publication described the Irish economy by saying "Our underlying structural strengths and capital investment plans mean we're well positioned for future growth."

SARP

The SARP (Special Assignee Relief Programme) initiative may attract more skilled workers from abroad which will enhance Ireland's labour force. SARP is a government initiative that provides income tax relief for certain people who are assigned to work in Ireland from abroad.

I hope you have learned something from this blog and have a more positive outlook on Ireland. Thanks for reading be sure to come back next week! 

Take care!