December 28,2021 India: IDA Ireland, the inward investment promotion and development agency of the Irish Government, today reported a record breaking year for FDI employment withsignificantly higherlevels of Foreign Direct Investment (FDI) in 2021 compared with 2020 and strong gains recorded in both gross and net employment.
Total employment in IDA client companies in Ireland now stands at 275,384, up 16,826 on 2020. 104of the 249investments won in 2021were new name investments, a better than anticipated new name performance considering the ongoing restrictions due to the pandemic.
Growth in employment in 2021 brought the number of people employed in the FDI sector in Ireland to 275,384 from 258,558 last year. Job losses remained at a relatively modest level relative to the size of the overall portfolio resulting in an extremely strong net employment growth this year – (16,826 net increase).
Growth in regions was particularly buoyant with 53% – 133projects of the 249investments won going to regional locationsand employment growth recorded in every region of the country.
The strong growth in regional investment was supported by IDA Ireland’s property programme. A robust property and infrastructure ecosystem can be the key differentiator in winning FDI projects, as evidenced by the record regional results achieved under IDA’s Winning 2015-2019 strategy. This positive momentum has been maintained since the commencement of our new strategy.
The 2021 figures show a pattern of sustained, robust growth in FDI investment and FDI-related employment over a continuousperiod of more than ten-years.This year’s results represent a strong start to IDA’s new 2021-2024 strategy, Driving Recovery and Sustainable Growth, which seeks to further enhance FDI’s place at the centre of a resilient, sustainable, and inclusive Irish economy.
An Tánaiste& Minister for Enterprise, Trade & Employment Leo VaradkarT.D. said:“These results are quite remarkable. In another year that was unfortunately mired by the pandemic, we saw the highest FDI employment creation figures we’ve ever had in a single year. There are now more people employed in our multinational sector than ever before – 275,384.
I think this demonstrates the strength of our economy and the fortitude of our people. Achieving over a decade of consistent FDI growth is a huge accomplishment, given the challenges our country faced during that time; recessions, Brexit and the pandemic among others. Thanks to Martin Shanahan and the IDA Ireland team for their work.”
Looking at the period 2020/2021, despite the challenges faced by individual companies, todate FDI in Ireland has come through the pandemic relatively unscathed. This is largely down to the sectors that IDA has targeted over the past decade – Technology, Pharma, Medical Technology, International Financial Services, Business services, Engineering and Food – thosesectors that underpin a modern economy.”
Tanaz Buhariwalla, India Director IDA Ireland said,““2021 is yet another milestone year for IDA Ireland, with the organisation sustaining its FDI performance. Despite the ongoing COVID-19 disruptions, a number of Indian technology start-ups and the large IT companies continued to invest in and expand their footprint in Ireland. The outcomes of 2021 have once again demonstrated Ireland’s attractiveness as a location to manage EU operations from, resilience, as well as the government’s commitment and consistency in maintaining and promoting a pro-business environment.”
There are nowclose to 1,700 multinational operations supported by IDA in Ireland accounting directly for 11% of the Irish workforce.