|
Economy - overview: Ireland is a small, modern, trade-dependent economy with growth averaging a robust 9% in 1995-99. Agriculture, once the most important sector, is now dwarfed by industry, which accounts for 39% of GDP and about 80% of exports and employs 28% of the labor force. Although exports remain the primary engine for Ireland's robust growth, the economy is also benefiting from a rise in consumer spending and recovery in both construction and business investment. Over the past decade, the Irish government has implemented a series of national economic programs designed to curb inflation, reduce government spending, and promote foreign investment. The unemployment rate has been halved; job creation remains a primary concern of government policy. Recent efforts have concentrated on improving workers' qualifications and the education system. Ireland joined in launching the euro currency system in January 1999 along with 10 other EU nations. The construction and other sectors are beginning to press against capacity, and growth is expected to drop in 2000, perhaps by 1 percentage point. GDP: |
|
In 1999, trade between Ireland and the United States was worth around $18.5 billion, a 24% increase over 1998. U.S. exports to Ireland were valued at $7.72 billion, an increase of about 8% over 1998 and 16% of Ireland's total imports. The range of U.S. products includes electrical components, computers and peripherals, drugs and pharmaceuticals, electrical equipment, and livestock feed. Irish exports to the United States grew by almost 32% over 1998 to $10.8 billion in 1999, representing about 15.5% of all Irish exports. Exports to the United States include alcoholic beverages, chemicals and related products, electronic data processing equipment, electrical machinery, textiles and clothing, and glassware. In 1999, the recent trend of a U.S. trade deficit with Ireland continued. Overall, the value of U.S. imports from Ireland exceeded the value of U.S. exports to Ireland by $3.3 billion. Nonetheless, given the continued favorable outlook for the Irish economy, sales opportunities for U.S. producers in Ireland are expected to improve. Export-Import Bank financing and the presence of major U.S. banks in Ireland facilitate marketing by U.S. suppliers. President Clinton and Irish Government officials have noted the important contribution toward economic and social progress American industrial investment in Ireland--north and south--has made. President Clinton has pledged to maintain the U.S. commitment to facilitate the growth of such job-creating investment. The International Fund for Ireland, which is funded by the U.S. Congress, has contributed $5 million annually to Ireland to support cross-border initiatives. U.S. investment has been particularly important to the growth and modernization of Irish industry over the past 25 years, providing new technology, export capabilities, and employment opportunities. The stock of U.S. investment in Ireland at end-1998 was valued at $16.1 billion. Currently, there are more than 580 U.S. subsidiaries, employing almost 86,000 people and spanning activities from manufacturing of high-tech electronics, computer products, medical supplies, and pharmaceuticals to retailing, banking and finance, and other services. Many U.S. businesses find Ireland an attractive location to manufacture for the EU market, since it is inside the EU customs area. Government policies are generally formulated to facilitate trade and inward direct investment. The availability of an educated, well-trained, English-speaking work force and relatively moderate wage costs have been important factors. Ireland offers good long-term growth prospects for U.S. companies under an innovative financial incentive program, including capital grants and favorable tax treatment, such as a low corporation income tax rate for manufacturing firms and certain financial services firms. GDP: |
![[Home]](wikipedia.png)