Louise O'Reilly
Question:257. Deputy Louise O'Reilly asked the Minister for Enterprise, Trade and Employment the total client expenditure by IDA Ireland companies over the past five years, by year, in tabular form. [2836/24]
View answerTuesday, 23 January 2024
Questions (257)
Written answers
IDA is now in the final year of its current strategy Driving Recovery and Sustainable Growth Strategy for 2021-2024 and is focused on delivering on its targets of
• 800 investments with 50% outside Dublin,
• 50,000 additional jobs and increased economic activity,
• 170 RD&I investments,
• 130 training investments
• 60 sustainability investments, and
• a 20% increase in client expenditure in Ireland to maximise the impact of FDI.
248 investments won by IDA Ireland in 2023, reflecting the continued attractiveness of Ireland as a location for FDI and an enduring commitment amongst FDI companies and confidence in Ireland as a location in which to make complex, innovative, and impactful investments at scale. There were 132 regional investments in 2023 which represents 53% of all projects and 56% of all jobs approved. IDA clients now employ 163,471 people regionally, which represents 54% of client employment.
These investments are delivering sustained levels of highly skilled employment across the country with 1,800 IDA client companies directly employing more than 300,000 in Ireland for the second consecutive year, against a backdrop of the global tech reset and severe global challenges including global inflation, changing industrial policy, and ongoing geopolitical disruption across the world. Employment in FDI companies now accounts for some 11.3% of the workforce. Additionally, my Department estimates that for every 10 jobs generated by FDI directly, another eight are created in the wider economy. This translates to over 540,000 direct and indirect jobs supported by FDI at the end of 2023 – almost 1/5th of the workforce.
The Annual Business Survey of Economic Impact (ABSEI) conducted by my Department includes data on the impact of IDA Ireland client companies on the Irish economy. In this regard, in additional to the employment figures already quoted, expenditure within the economy by FDI companies increased during 2022 despite challenging conditions. Payroll was up 12% to €22.1bn, Irish services and materials spend increased by 15.7% to €13.8bn, and capital expenditure was up 49% to €15.5bn. Exports of €383.1bn represent an increase of 11.2% year-on-year. Between 2020-2022 direct expenditure in Irish economy by IDA clients increased by 24.0% from €28.9 billion to €35.8 billion.
These results reinforce the scale of the contribution of FDI to Ireland and the role that inward investment continues to play in providing jobs and opportunity for people right across the country. While they are reassuring in the context of an increasingly challenging and competitive global environment for enterprise and for FDI, Government recognises that Ireland must stay agile and ambitious to win investment as we pursue implementation of the policy mix articulated in the White Paper on Enterprise. To these ends, IDA Ireland’s focus remains on winning investment for Ireland, building partnerships with client companies and supporting them in their growth & transformation as they build competitiveness, grow, and further embed themselves in Ireland.
As requested by the Deputy, the table below details the Direct Expenditure in the Irish Economy (Payroll, Irish Materials, Irish Services) of IDA Ireland companies. In this regard, overall direct expenditure in the Irish Economy by IDA Ireland companies has increased year-on-year over the 5-year period from 2018 to 2022 (please note figures for 2023 are not currently available, 2022 are the most recent figures available).
|
2019 |
2020 |
2021 |
2022 |
2023 |
|
|
Investments won |
250 |
246 |
249 |
242 |
248 |
|
Investments won in the regions |
110 |
128 |
133 |
127 |
132 |
Question No. 258 answered with Question No. 248.