Ireland in top 20 best FDI locations

Ireland has jumped four places and into the top 20 in a list of the world’s most competitive foreign direct investment (FDI) locations.

The 2012 World Competitiveness Yearbook, published by highly respected Swiss-based business school, the International Institute for Management Development (IMD), places Ireland ahead of the likes of Japan, France, South Korea, China and Belgium in terms of international locations. Ireland’s ranking has risen from 24th in the past year.

In addition, the Lausanne- based IMD ranked Ireland highest in four specific areas; namely availability of skilled labour, flexibility and adaptability of workforce, investment incentives and attitudes towards globalisation.

In terms of foreign investor-friendly business legislation, international standards and adaptability of companies; Ireland ranked second. On corporate tax rate attractiveness, Ireland ranked fourth.

“The most competitive nations in Europe are Switzerland, Sweden and Germany, which have export-orientated manufacturing and fiscal discipline. Meanwhile, Ireland, Iceland and Italy look better- equipped to bounce back than Spain, Portugal and Greece, which continue to scare investors,” the IMD noted as part of the survey.

Closer to home, IDA Ireland was quick to welcome the report’s findings. The organisation’s chief executive Barry O’Leary said: “The fact that Ireland continues to lead the way in availability of skilled labour adds significantly to our reputation as a host for FDI, and the outlook for maintaining this position in the future remains positive.”

Earlier this week, recruitment specialist, Manpower ranked Ireland as a global leader for skills availability and said it was the least difficult location in the world in which to fill talent.

Such reports are proving that Ireland’s “value proposition” as an FDI location is “constantly improving”, according to Mr O’Leary.

Meanwhile, the latest edition of the IMD survey sees Hong Kong retain its status as the most attractive FDI location in the world; closely followed by the US.

Switzerland — which is the highest European location on the list — Singapore and Sweden round out the top five. Germany has risen one place in the past year, to number nine.