Ireland is a small, vibrant, economy with aheavy dependence on trade. The Irisheconomy has entered a new era ofdevelopment and structural change, withthe emphasis having shifted from growthin the manufacturing and constructionsector, to become more focused on growthin the business and financial services.

This focus on creating a new driver of theeconomy has presented policy challengesand as the global credit crunch has hit,Ireland has been badly affected. Followingyears in which the country has experiencedstrong, steady growth of the economy, 2008saw the economy slow dramatically. Thegovernment had expected economic growthto be just 0.5 per cent in 2008, however, thatappears to have been overly optimistic.According to the Economist IntelligenceUnit, the economy contracted by 2.3 per centin 2008 and the forecast for 2009 is for theeconomy to shrink by a further 7.4 per cent. 

Investment Climate
The 2008 – 2012 Business EnvironmentRanking of the Economist Intelligence Unitplaces Ireland 11th globally out of 82countries, naming it as one of the mostattractive business locations in the world.The government actively promotes foreigndirect investment (FDI), a strategy that hasbeen a key factor in driving the phenomenalgrowth witnessed in recent years. The Irish government has implemented aseries of national development programmesaimed at improving infrastructure,increasing labour force skills andencouraging enterprise and investment.The National Development Plan for 2007 –2013 has allocated €184 billion for thispurpose, more than three times the amountallocated in the previous plan.

Opportunities
Ireland is a major customer for products andservices of all kinds and its young population(with a third aged 25-44) makes it attractiveto exporters. There are opportunities inalmost all sectors, but the following areparticularly attractive:
• Construction
• Energy
• Environment
• Food and drink
• Healthcare
• Transport 21

Ireland is an excellent starter market for UKcompanies new to export – it is close, thereare no language issues and few legal orcultural barriers exist. 

Ireland is also attractive to the larger UKcompanies, most of which have a presencein Ireland. In the retail sector, Tesco, Boots,Marks & Spencer and Debenhams arepresent and growing. And British companieshave been involved in some majorinfrastructure projects in recent years,including the Dublin Bay wastewatertreatment programme and the Dublin PortAccess Tunnel. 

ICT
Ireland has been highly successful inattracting overseas investment into the ICTsector. Today, five of the world's top ten ICTcompanies operate in the country and thereare more than 220 companies active in thesector with a combined workforce of over40,000 people. Each year, the sector createsexports valued at over €50 billion andgenerates corporate tax in excess of€500 billion. 

UK Trading Relationship
Ireland is the UK’s fourth largest exportmarket, after the US, Germany and France,worth £18.5 billion in 2008. It is the onlymajor world market where the UK is thedominant supplier and is the UK’s largestmarket for clothing, footwear, food andbuilding materials. In terms of imports, theUK was worth just over £12 billion toIreland in 2008. The UK is also the thirdlargest investor in Ireland, after the USand Germany.  

KEY FACTS

Official Name: Ireland
Capital: Dublin
Area: 70,182sq km
Population: 4.4m (UN, 2008)
Major languages: English, Irish
GDP (current): US$259.02bn (World Bank, 2007)
GDP growth: 6.0% (World Bank, 2007)
GNI per capita: US$47,610 (World Bank, 2007)
Inflation (consumer prices): 4% (2008 est.)
Labour force: 2.27m (2008 est.)
Unemployment: 2.27m (2008 est.)
Monetary unit: 1 euro = 100 cents
Exports to UK: £12,056.48m (HMRC 2008)
Imports from UK: £18,569.14m (HMRC 2008)  
 

Main Industries
Steel, lead, zinc, silver, aluminium, barite,and gypsum mining processing, foodproducts, brewing, textiles, clothing,chemicals, pharmaceuticals, machinery, railtransportation equipment, glass and crystal,software, tourism. 

Main Exports
Machinery and equipment, computers,chemicals, pharmaceuticals, live animals,animal products. 

Main Imports
Data processing equipment, othermachinery and equipment, chemicals,petroleum and petroleum products, textiles,clothing. 

CONTACTS

UK Trade & Investment
Kingsgate House
66-74 Victoria Street
London
SW1E 6SW
Tel: 020 7215 8000
Email: wendy.doak@fco.gov.uk
Web: www.uktradeinvest.gov.uk