Diarmaid Mulcahy

The Irish economy, once the envy of the world, is now in deep recession. Other countries too are facing economic turmoil, with rising unemployment, financial institutions in severe difficulty, and governments scrambling to slow up if not halt the worst effects of the downturn.

Traditionally dependent on farming, Ireland has been very successful in attracting foreign multinationals to locate here. Almost 90% of our exports and more than two-thirds of the country’s R+D is now generated by such firms.

Research and development has been hugely beneficial to the Irish State, creating many jobs and greatly adding to the national tax take. With changing economic conditions, many of these multinationals are looking to cheaper cost locations, as Ireland has priced itself out of the labour market.