Ireland 'trailing Europe on venture capital investment'

Ireland now lags Europe in terms of annual venture capital investment as a percentage of GDP, a private equity conference heard today.

Javier Echarri, Secretary General of the European Venture Capital Association (EVCA), challenged Ireland to invest as much in building its indigenous tech industry as it had invested in building its foreign multinational investment base.

He was speaking at the Equity Network private equity conference 2005 in Dublin Castle.

Mr Echarri said that Ireland had the potential to become a leader in VC technology investment given its young educated workforce, the technology base of the economy and Ireland's cultural affinity with the USA, the main market for technology.

In reply, Mr. Shay Garvey, Chairman of the Irish Venture Capital Association (IVCA) stated that the €1bn invested by Irish VCs in Irish tech companies had already resulted in a transformation in the economy where 20% of all indigenous exports (more than €1bn) is generated by Irish high tech companies.