North West loses out in IDA's record year

     
The IDA figures show yet again how the North West has been overlooked in terms of economic and infrastructural development
1988 was a record year for the IDA. Even taking into account the 1,400 jobs that will be lost in Seagate 15,170 new jobs were created, bringing the total number of IDA-backed jobs in the 26 Counties to 107,600.

IDA chief executive Kieran McGowan described the results as being ``significantly stronger than in any previous year''. This however is not the case in the North West which ended 1997 in a worse position in terms of jobs and IDA-supported companies.

At the end of 1998 there were 279 IDA-supported companies operating in the North West border region which stretches from Cavan to Donegal, 18 less than in 1996. The total employment from IDA-backed companies in the region at the end of 1997 was also down on 1996. There were 6,936 jobs in 1997 compared to 6,947 in 1996.

Sinn Féin TD Caoimhghín O Caoláin told An Phoblacht that he found the figures ``hugely disappointing''. He said ``The IDA figures show yet again how the North West has been overlooked in terms of economic and infrastructural development. The figures show huge advances in employment levels for the Eastern and Western regions. I do not begrudge them their success but the special developmental difficulties of the border regions must be recognised.

``What is needed is for a funded development plan led by the local communities that make up the border regions and know better than anyone what is needed to develop their local economies''.

We contacted the IDA where a spokesperson told us that ``the pressure is on the IDA to keep a focus on the North West''. The problems in the area were, he said, the lack of a proper road and transport structure as well as question marks over the potential supply of skilled labour.

O Caoláin described the road structure in Cavan as ``archaic'' and said that good arguments could be made for the development of a third level institution of RTC status in the Cavan/Monaghan region.

The IDA had in the last year reorganised its approach to the North West and North East regions. It was piecing together more viable sites for development but their spokesperson pointed out that ``we cannot make it happen on our own. There has to be development action by everybody''.

Caoimhghín O Caoláin responded by saying that ``There must a policy initiative involving all arms of the state which will create a programme of positive discrimination to correct the imbalances inflicted on the border economies by partition and the complacency of successive governments''.

Ansbacher key to Golden Circle

Finally this week, after years of institutional neglect and months of avoidance, some minor action was taken against the Ansbacher 15 whose £38 million hoard hidden in offshore bank accounts was exposed in last years Dunnes Payments to Politicians Tribunal.

Some of the original account holders have had their deposits frozen until Irish Intercontinental Bank (IIB), who now administer the accounts, ascertain whether the funds are liable for Deposit Interest Retention Tax. Most of the £38 million publicised in the McCracken Tribunal report has already been moved. This followed publicity created by the disclosure that Irish residents were using the accounts as part of an ``ingenious system'' which allowed the account holders to have access to offshore funds without any record existing in Ireland of the multimillion pound deposits.

In a separate development, findings by the Central Bank of possible breaches of exchange control by the Ansbacher account holders has been referred to the Director of Public Prosecutions by Finance minister Charlie McCreevy.

Last week Sinn Fein TD Caoimhghin O Caolain supported an opposition motion in Leinster House calling for extended terms of reference for the new Moriarty Tribunal which would allow this tribunal to investigate the Ansbacher accounts.

O Caolain said, ``Without investigation of the Ansbacher accounts the tribunal would be discredited from day one. The general public knows that the issue here has moved far beyond the financial dealings of one person. What ought to be under scrutiny is the shady dealings of the Golden Circle at the pinnacle of Irish society who are unwilling to pay their fair share of tax.''.

The motion calling for the extended terms of reference will be debated next Wednesday 28 January.

Low spenders


Here's an interesting question. Which European Union government has the record of being the lowest public spender? The Dublin Government comes out on top. A new Eurostar report shows that in 1995 Dublin Government spending accounted for only 40.9% of Gross Domestic Product (GDP)

The EU average was 48.5% of GDP. The Swedish government were the highest spenders splashing outs spending totalling 65.1% of GDP. So the next time someone talks about high levels of public sector spending point to the real truth that the 26 County economy is one of the lowest spenders not only in the EU but in the industrialised world.