Forfás presentation template

Download Report

Transcript Forfás presentation template

The Global Economy – a role for Dublin
Martin Cronin
24 May 2005
Martin Cronin
Chief Executive
Role of City-Regions
 Growing recognition in Europe that major city-regions
play a central role in a modern knowledge based
economy.
 e.g. UK study found that knowledge based sectors are
heavily concentrated in or near the centres of major
cities
 Research evidence suggests that the reputation and
attractiveness of major cities has a determining influence
on the competitiveness of the economy as a whole.
 Dublin is Ireland’s only global centre and has a pivotal
role to play in Ireland’s continued economic performance
2
and development.
Big fleas have little fleas
upon their backs to bite them
- And little fleas have littler fleas
and so on ad infinitum
Dublin
Cork, Limerick, Galway
Waterford, Sligo, Athlone, Dundalk
……
3
Big fleas have little fleas upon their backs to bite them
- And little fleas have littler fleas and so on ad infinitum………
Global nodes : London, Paris, New York, Tokyo,
European engines : Munich, Frankfurt,
Brussels, Rome, Madrid
Potential Metropolitan Growth Areas (MGA’s) :
Helsinki, Manchester, Dublin, Turin, Oslo
Potential MGA’s : Warsaw, Budapest, Lyon, Antwerp
Weak MGA’s : Bordeaux, Porto, Krakow, Riga, Cork
4
GDP per capita 2001– EU cities (€)
1 Frankfurt
2 Karlsruhe
3 Paris
4 Munich
5 Dusseldorf
6 Stuttgart
7 Brussels
8 Copenhagen
.........................
74,465
70,097
67,200
61,360
54,053
53,570
51,106
50,775
15
16
17
18
19
20
38,203
38,149
37,454
36,591
36,572
35,733
Amsterdam
Munster
Wiesbaden
Dublin
Vienna
Stockholm
Source: Office of Deputy Prime Minister, Competitive European Cities, Jan 2004
5
Ratio of GDP per Capita: City vs. National
Frankfurt/Germany
Paris/France
Brussels/Belgium
Copenhagen/Denmark
Amsterdam/Netherlands
Vienna/Austria
Helsinki/Finland
Stockholm/Sweden
London/UK
Dublin/Ireland
Rome/Italy
Berlin/Germany
3.8
3.5
2.6
1.9
1.8
1.8
1.7
1.7
1.7
1.5
1.5
1.2
6
Dublin’s Ranking as Business Location
(Source: Cushman Wakefield Healey & Baker, European Cities Monitor 2004)
 OVERALL – 12th
 Access to Markets (key factor) – 23rd
 Availability of Qualified Staff - 15th
 Cost of Staff – 7th
 Quality of Life – 13th
 Climate Government Creates – 1st
When asked which cities were doing the most to improve themselves, only 5
percent of those surveyed cited Dublin compared to 22 percent for Barcelona
and 17 percent for Madrid.
7
Critical Success Factors
 Access/connectivity
 Highly Skilled Workforce
 Innovation
 Diversity of Enterprise Base
 Quality of Life
8
Access / Connectivity

Dublin ranked 23rd, performing poorly on both external and
internal transport facilities

Public transport improvement was the single most demanded
improvement by companies surveyed

Lengthy delays in making decisions on key infrastructure
priorities:
 Rail link to airport – first feasibility study commissioned in 1996
 Integrated city centre rail network
 Second airport terminal
 Eastern by-pass
 Outer orbital route

Also delays in delivering major infrastructure projects once they
9
have been approved
Access/Connectivity - Key Developments

Luas

QBCs on key radial routes

Dublin Port Tunnel – to open early 2006

€810m M50 upgrade approved by An Bord Pleanála earlier
this month

Many additional air routes from Dublin airport providing direct
connectivity to growing number of international destinations

Unrivalled international telecoms connectivity

Introduction of 10 year multi-annual capital envelope for
transport a welcome development

Proposals for new fast-track planning procedures for major
infrastructural projects due this week
10
Skilled Workforce
Overall stock of secondary graduates in
Ireland is poor
Low level of staff training
Increased emphasis on ICT required
7.2 % in Dublin have MA/PhD
compared with 4.6% nationally
But…
37.2
37.7
44.9
25.2
37.8
29.1
33.5
26.0
28.7
No Formal Upper Secondary
Primary/Lower
Sec
Dublin
Ireland
Ireland has the youngest population in
Europe with over 40% under 25
Ireland’s total investment in knowledge
increased by an average annual
rate of 10% over the past decade
compared with averages of around
3% by the EU and the OECD.
Third Level
15-30 Ireland
11
Source: Census 2002
European Innovation Index
12
Innovation: CSETs
Three of the six awarded to date are in Dublin…….
•
Centre for Human Proteomics (RCSI)
•
Centre for Research on Adaptive Nanostructures and
Nanodevices (UCD/TCD)
•
Centre for Telecommunications Value-Chain-Driven
Research (TCD)
13
Diversity of Enterprise Base

The cities which are most successful in responding to economic
change are those least dependent on a single sector

Dublin is host to a cluster of leading companies across a range of
sectors including Financial Services, Life Sciences, International
Services and ICT. Their activities include R&D, manufacturing and
services.

ICT: Bell Labs; IBM; Microsoft; Iona

Financial Services: Citigroup; Merrill Lynch; AIB

Life Sciences: Wyeth; Biotrin; Megazyme

Other Services: eBay; Google; Riverdeep
14
Quality of Life

Culture, environment, architectural and housing quality and
city centre facilities

11th most expensive city in the world (6th in Europe)
- 22nd in the world (14th in Europe) on the QOL indicator

House prices in Ireland grew by 179% from 1997-2004
(147% in Britain, 131% in Spain)

Increased congestion and longer journey times

Need to implement integrated land use and transport policies
15
Quality of Life: Positives

Vibrant and cosmopolitan city

Wide range of sport and leisure pursuits

Active theatre scene – Gate, Abbey, Andrews Lane

Rich cultural heritage – Joyce, Beckett, Wilde
16
Trajectory of the Global Economy
Uncertainties
2.
Certainties
•
Exchange rates
•
Globalisation
•
Geopolitical issues
•
China, India
•
EU Accession countries
•
Technological progress
•
Oil Prices
•
Accelerating pace of change
•
Property prices…
•
…….
17
The Case for Change…..Ireland in Transition
Shift
to
Services
Globalisation
Role of
Knowledge
Domestic
Cost
2005
?
+
 Intense Competition
for both
 Low Ground
 High Ground
18
Services
Examples of sectors and activities that offer significant opportunities
for exploitation by indigenous enterprises and for increased inward
investment
x
x
x
x
x
x
x
x
x
x
x
x
x
x
x
19
High Value Manufacturing
Examples of sectors and activities that offer significant opportunities for
exploitation by indigenous enterprises and for increased inward investment
x
x
x
x
20
x
‘Ahead of the Curve’
- Enterprise Strategy Group
Comparative
Advantage
Competitiveness
21
For regular updates on Forfás…
…subscribe to email alerts.
Email [email protected] with ‘subscribe’ in the subject
or body of the email.
Forfás, Wilton Park House, Wilton Place, Dublin 2, Ireland
www.forfas.ie
Tel: +353 (0)1 6073000
Fax: +353 (0)1 6073030
22