Paul O'Dea’s Post

CNN — In 2010, Ireland was in the middle of a Great Recession-induced meltdown that required an emergency rescue by the European Union and International Monetary Fund to the tune of about $70 billion, or 40% of Ireland’s total economy. Since then, the country’s low corporate tax rate has lured large multinational tech and pharmaceutical firms to its shores, and their payments to the government have bolstered revenue substantially. Ireland is forecast to have a $70 billion budget surplus by 2027. How’s that for a comeback? Now the Irish government wants to expand the country’s own businesses abroad, especially in the United States. Just last week Ireland’s ClonBio group, an agribusiness company, said that it plans to invest half a billion dollars to reopen a mothballed factory in Jefferson, Wisconsin, supporting 1,000 local jobs. Ireland is the ninth largest source of foreign direct investment in the US, with $295 billion spent in 2022. About 700 Irish firms employ more than 100,000 people in America. Much of that investment was aided by Enterprise Ireland, an Irish government agency that is also the most active national venture capital fund in Europe. Why has Ireland been so successful at creating and exporting business enterprises?  "I think it’s because there’s a global awareness of business in Ireland. We’re a small island but we’ve been the beneficiary of huge amounts of foreign direct investment over the last number of decades," said Leo Clancy, the CEO of Enterprise Ireland "Most of that (was) from United States multinationals. And that’s actually given us confidence and a business culture that was global from the outset. Irish companies have to think about being in an Irish domestic market which is frankly, really small, or just going global straightaway."

Investment Policy France needs to be praised for its pro-business orientation, the support being accorded to private sector firms, endeavours vis-a-vis attracting investors, and for nurturing entrepreneurs. This article is truly interesting. Any one interested in investment policy should read this article. #France #UK #EU #Germany #US #ASIA #Africa #Gulf

It’s hard to avoid conversations in business circles on the recent findings by Interpath Advisory, which highlighted the steep rise in Scottish businesses entering administration to levels not seen since before the pandemic. Firstly, the increase in administrations is a significant signal, not merely of distress but also of a transitioning economy, and these indicators should mobilise us towards strategic interventions that can turn the tide. What's needed now is not just resilience, but a proactive leap forward to drive investment from further afield. That, however, is proving difficult. Recent data from Experian shows a fall of international investment in Scottish enterprises. Analysis on the report by Wright, Johnston & Mackenzie LLP shows that, in 2023, the number of Scottish businesses involved in overseas deals dropped significantly, from 36 in 2022 to just 23. This decrease not only reflects a loss of confidence, but also highlights a centralisation of investment in London and the South East, which now attract 42 per cent of all UK deals. This disparity underscores the necessity for Scotland to enhance its appeal to both domestic and international investors. Combined, these figures paint a bleak picture, but there is a glimmer of light from the proposed Inverness and Cromarty Firth, and the Forth Green Freeport. These green freeports and investment zones might be the key to offering a compelling solution to these pressing issues. Freeports – special economic zones free from some normal tax and tariff rules – have the potential to become hubs of enterprise, innovation, and international trade. Establishing these zones, we can offer compelling incentives for businesses, including reductions in bureaucracy. This is not a new idea. Built environment experts Mace Group estimate that there are 3,500 Freeports worldwide, employing 66 million people. However, the types of Freeport vary significantly, but there is no reason the UK can’t pick out the best aspects from the many tried and tested examples, and tailor each to suit the needs of the area and their current and future goals. Similarly, Investment Zones provide targeted benefits designed to serve as catalysts for regional development, offering tailored incentives like tax reliefs, planning simplifications, and support for innovation and growing industries that the region can nurture. These zones can stimulate trade in areas that have gone far too long without appropriate investment and opportunity, balance regional inequalities, and, more importantly, signal to the international community that Scotland is not only open for business but is a prime location for forward-thinking investments. I echo the comments coming from Wright, Johnston & Mackenzie LLP’s managing partner Fraser Gillies. Click the link to read the rest : https://lnkd.in/dKmAvbeh

Business West is running a new Spotlight On Series, which will delve into key issues of concern for our region. This is our first piece; a Spotlight on Devolution. https://lnkd.in/eEN3nJEu

Check out the first of our Business West 'Spotlight On...' Series, delving into the key concerns for our region. The first is focused on Devolution, which although many SME's see as a 'dry' subject matter, is more important than many realise. Check out the research results & the article in the links below

With a new political party at the helm, our Regional CEO, Umar Butt, highlights the crucial role the government can play in empowering small businesses to thrive in international markets. 🌍 Discover his insights on how enhanced support can drive global expansion for SMEs. 🚀 https://lnkd.in/eRiYZeNQ #BusinessGrowth #GovernmentSupport #GlobalExpansion #SmallBusiness

English devolution: What is it and why should it matter to your business? 🧾We recently polled 261 businesses across the South West about their views on the #devolution of powers from central to regional government… ⚖ Our survey results reveal a nearly even split in the business community's opinion on the impact of devolution in England.   51.3% believe that transfer of powers from central to regional governments would be beneficial. Conversely, 48.7% do not see devolution as beneficial.   ❔ Why are the results so close (and rather reminiscent of Brexit)? We are not certain. However, we think there is an information gap; a lack of clarity on what English devolution is and what it means for business and our region.   🚀At Business West, we believe that greater devolution - putting more power in local decision makers’ hands - is a way to drive #SocialMobility and improve regional productivity and prosperity, which in turn boosts the UK economy. The next government, whatever form it takes, will face challenges in delivering the economic growth needed to tackle the challenges we face. Greater devolution can provide a pathway for delivering that economic growth.  Read the blog here https://lnkd.in/emWb5ZnN Let us know your thoughts on devolution in the comments below 👇 Business West is running a new Spotlight On Series, which will delve into key issues of concern for our region. This is our first piece; a Spotlight on Devolution. A Spotlight on International Trade will follow soon

New Zealand small businesses are facing significant challenges in the current economic climate. For many, the candle continues to burn at both ends as a prolonged lack of consumer confidence meets a "cost of doing business" crisis. In this short piece published in The Conversation Australia + NZ, we argue that the full extent of the challenge is unlikely to be reflected in business liquidation statistics, as small firms often avoid liquidation at all costs. In many cases, small businesses are simply "too costly to close." Going forward, the New Zealand government needs to provide small businesses with the confidence to flourish and support investments into science, innovation, and infrastructure relevant to small business. Policy-makers, colleagues, and practitioners might be interested to read the full article here: https://lnkd.in/g3zydg-3 Thank you, Debrin Foxcroft, for your editorial guidance, and my colleague Ben Fath, for the collaboration.

Excellent piece by Daryl Hanberry of our client Deloitte in today's The Irish Times. "Ireland faces crucial choices," according to Hanberry. But "contrary to the misconception, this can involve both supporting enterprise and prioritising social justice". He argues Ireland needs to do three things: 1)  Evolve and simplify our taxation system to support enterprises and those individuals who work to build them 2) Establish an investment infrastructure fund enabling Ireland to lead in new technologies and sustainable industry 3) Move quicker to address systemic blockers to growth such as housing supply and delivery pathways for sustainable energy. #Irisheconomy #ireland #fdi #irishbusiness #opinionpiece #deloitte #clientnews https://lnkd.in/exXvA92d

Great to see Ireland made the top 10 for business attractiveness again this year, coming in 9th, despite dropping 2 places from last year. This was according to the PwC Private Business Attractiveness Index who rank 33 European, Middle East and African countries, based on categories including macroeconomics, the business landscape, tax and regulatory environment, sustainability, governance, public health, education and skills, technology infrastructure and startup ecosystem. Ireland made some notable improvements, such as the start-up ecosystem category and in education, skills, and talent , moving from 12th to 9th place. Ireland has climbed to 10th place from 11th last year in Tax and Regulatory Environment, significantly enhancing its position from 20th in 2021. These improvements indicate positive developments in Ireland's business environment, particularly in fostering innovation, nurturing talent, and creating a favorable regulatory framework. Such advancements can contribute to the country's economic growth and attractiveness for both domestic and foreign investment. However, rising costs of living and energy are hurting Ireland's macroeconomic position (down to 6th from 1st), putting pressure on private businesses. The report calls for continued government support for private businesses to help weather these challenges and encourage entrepreneurship. To read the article click on the link below: https://lnkd.in/eAPaB79W www.raretec.ie #ireland #business #economy