Ireland as a Digital Economy

Ireland as a Digital Economy 

It’s no secret that Ireland is the home of thousands of multinationals. However, Ireland’s global economy requires a smooth integration to its growing digital economy, with 9 of the top 10 US technology and software companies being based here as well as the top 5 Global Software Companies (IDA, 2023). Let's have a look as to why: 

1. Ranking 6th on the EU’s DESI Index 

Ireland ranks 6th out of 28 EU Member States on the European Commission’s Digital Economy and Society Index (DESI) 2020. The report notes that Ireland was the fastest growing Member State in the EU. This is extremely attractive to companies in the current digitalisation era. See Here.

2. Educated Workforce  

With education being supported by government investment, it resulted in Ireland being ranked 4th out of 38 countries in the OECD ‘Education at a Glance’ report 2021. The available talent in Ireland is a huge factor in attracting foreign investment. 

3. Infrastructure Investment 

Ireland’s recent National Development Plan committed a budget of €165 billion to major infrastructure projects up to 2030 - the highest ever investment in public transport, housing, sustainability and education (IDA, 2023). 

4. EU Membership 

Following Brexit in 2020, Ireland became the only English-speaking country in the EU. This, with the EU’s 4 freedoms and Ireland’s daily international connections by sea and air to Europe makes Ireland the perfect hub for trading and accessing the European markets. 

5. Tax Rates 

Ireland’s corporation tax rate currently stands at 12.5% (Although 15% is now proposed) it stands as ‘one of the lowest in the developed world’(BBC,2023). 

6. Harnessing Digital – The Digital Ireland Framework 

This framework promotes more flexible and remote working, new job opportunities, new markets and customers for businesses, as well as more efficient and accessible public services for all (Council Journal, 2022) - exactly what will help businesses thrive in Ireland. Read more here.

7. Stable Economy 

The Irish Times in 2023 outlined how Ireland ranked 2nd (out of 64 economies) in the 2023 IMD World Competitiveness Ranking (WCR). Scoring 1st in economic performance, it is a positive indicator for more international companies to come to Ireland. 

8. Accessibility 

With access from anywhere to an airport or transport hub, a motorway network connecting all regions, an advanced telecoms and broadband infrastructure – any location in Ireland would be suitable to set up (IDA, 2023). 

9. Sustainability Progress and Goals 

The Environmental Protection Agency noted that ‘the economic resilience of Ireland is intimately linked to environmental quality’. With sustainability being an essential part of business strategies today, Irelands move to taking a lead in promoting sustainable energy technologies has never been more attractive. 

10. Just being Irish! 

IDA (2023) highlights that Ireland is among the best places in the world for quality of life, satisfaction levels, household income, education standards, health and life expectancy based on many recognised international indexes. This, along with all of the above suggests that Ireland has great human capital, physical capital and natural capital that if invested in, can be capitalised on. 

 

Thanks for reading, please share any thoughts you have!