Dáil Éireann debate -
Tuesday, 9 Jun 1998

Vol. 492 No. 1

Written Answers. - Multilateral Agreement on Investment.

John Gormley

Question:

40 Mr. Gormley asked the Tánaiste and Minister for Enterprise, Trade and Employment whether Ireland is party to a multinational agreement on investments or multinational agreement on inward investments which would have the effect, upon full implementation, of restricting the discretion enjoyed by the Government in relation to grant aid and subsidies available to non-national corporations seeking to establish manufacturing or service operations here; and if she will make a statement on the matter. [13688/98]

Minister of State at the Department of Enterprise, Trade and Employment (Mr. T. Kitt)

I presume that the Deputy is referring to the current negotiations to create a multilateral agreement on investment known as the MAI. The MAI is being negotiated under the auspices of the Organisation for Economic Co-operation and Development in Paris. All 29 member countries of the OECD, including Ireland, are taking part in the negotiations. It is intended that the MAI will be a free-standing international treaty open to all countries willing and able to meet its obligations.

The state of play in the MAI negotiations and the Government's general approach and position on specific issues were set out in the replies to parliamentary questions on 21 April 1998, 12 May 1998 and 26 May 1998.

Countries which become party to the MAI would commit themselves to treat foreign investors no less favourably than they treat their own investors. They would also agree not to discriminate among investors of different MAI parties. It is expected that these principles will apply, in general, to the granting of investment incentives.