Dáil Éireann Debate, Tuesday - 14 May 2019
252. Deputy Bernard J. Durkan asked the Minister for Business, Enterprise and Innovation the measures she continues to take to develop and improve the competitiveness of Irish goods and services on world markets; and if she will make a statement on the matter. [20890/19]
View answerCompetitiveness is integral to exports, jobs growth and as a means of achieving sustainable improvements in living standards. Improving competitiveness performance is a core focus of the work of my Department and wider Government policy and is particularly vital in these volatile Global economic environments.
Ireland is a competitive economy, as reflected in strong employment growth across sectors and regions. The strong performance of clients supported by the enterprise agencies in winning exports, market share and job creation in the face of intense global competition is to be commended and reflects the competitiveness of the environment in which to do business in Ireland.
However, this strong competitiveness position cannot be taken for granted – and there is no room for complacency – which is why improving Ireland’s competitiveness position is a key priority for this Government, and my Department.
Recent reports by the National Competitiveness Council have highlighted the need to continually enhance competitiveness performance. I share the Council’s view that to further improve competitiveness we must preserve fiscal sustainability, maximise investment in infrastructure and talent, maintain cost competitiveness, and drive innovation and productivity across all economic sectors.
Future Jobs 2019, launched in March, is a whole of Government framework designed to improve our economy’s resilience in the face of emerging and future challenges. It sets out 26 ‘ambitions’ to 2025 across five pillars in the areas of innovation; productivity; skills and talent; participation; and transitioning to a low carbon economy.
Along with Project Ireland 2040, Global Ireland 2025 and the Government’s forthcoming All of Government Climate Plan, Future Jobs represents an integrated approach to prepare for the opportunities and challenge of the future economy.
A range of specific deliverables in Future Jobs Ireland 2019 aim to enhance the business environment and improve competitiveness, as well as other factors, that contribute to specific sectoral cost challenges. For example:
- On credit and financial costs, the Future Growth Loan Scheme will provide long term debt financing for strategic investments. This scheme will offer loans to SMEs for a period of 8 to 10 years with an interest rate of 4.5% for loans up to €249,000 and 3.5% and less for loans greater than or equal to €250,000. It will provide affordable financing to Irish businesses and the primary agriculture and seafood sectors to support strategic long-term investment in a post-Brexit environment;
- On legal services, new business models for legal services will be introduced, including new legal partnerships and limited liability partnerships;
- On construction, an implementation plan for actions to stimulate construction sector productivity will be delivered, including greater deployment of Building Information Modelling.
As a small open economy, we must never underestimate the importance of maintaining competitiveness, and ensuring that the cost of doing business does not impede this. This requires us to have mutually supporting policies in place. In this regard, Future Jobs Ireland is an integral component of the Government’s over-arching plan for the future of the Irish economy.
