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Explore the role of SMEs in Ireland's "Celtic Tiger" era and the lessons for Romania in utilizing EU structural investments for economic growth. Discover key parameters and lessons learned from Irish productive sector development. Learn from national policy documents and operational programs to build a conducive entrepreneurial climate.
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Structural Instruments in Romania Conference Workshop no. 3 – Improving Economic Competitiveness by Building the SME Base Experience of Ireland Dr Jim Fitzpatrick Managing Director Tel: +353 1 4966008 Fitzpatrick Associates, Economic Consultants Fax: +353-1-4966028 122 Ranelagh Village e-mail: jfitzpatrick@fitzpatrick-associates.com Dublin 6 Web: www.fitzpatrick-associates.com
SME role in Ireland’s “Celtic Tiger” Use of EU Structural Investments Some Lessons for Romania? CONTENTS
PRODUCTIVE SECTOR PERFORMANCE, 1995-2004 Full-time Employment in Financial and Other Internationally-traded Services Value of Manufactured Exports Indigenous Software Jobs
http://www.forfas.ie/publications/ http://www.forfas.ie/icsti/statements/tforesight/ http://www.irishspatialstrategy.ie/NSSDownloads.shtml http://www.smallbusinessforum.ie/ http://www.arts-sport-tourism.gov.ie/pdfs/tourism_review_report.pdf http://www.entemp.ie/publications/science/2006/sciencestrategy.pdf http://www.iua.ie/working_industry/pdf/knowledge_economy.pdf http://www.forfas.ie/esg/ IRELAND – NATIONAL POLICY DOCUMENTS
“COMPETITIVENESS” OPERATIONAL PROGRAMMES* Breakdown by Core Priority (total EU and co-financed) * Industry Operational Programme 1994-99, Priority of the Productive Sector Operational Programme 2000-06
SOME KEY PARAMETERS • OBJECTIVES:shift from employment creation to value-added • DELIVERY AGENCIES:mainly existing specialist state agencies • ELIGIBILITY:generally manufacturing and internationally traded firms (i.e. exports or export potential) • FORMS OF FINANCE:mostly non-repayable grants, some equity (preference shares) • DEADWEIGHT:part of consciousness of selection committees • APPROVAL CRITERIA:Programme Complements • PROJECT GENERATION/SELECTION:agency development staff help applicants, separate committees approve • MONITORING:project level – grants payable for agreed milestones programme level – inputs, outputs, results, impact ideally
PRINCIPAL IRISH PRODUCTIVE SECTOR DEVELOPMENT AGENCIES - SUMMARY
SOME LESSONS • don’t forget the SME sector • be selective, focus on potential high performers • separate national competitiveness from regional/local development objectives • have good enterprise advice/support structure • Structural Instruments not enough, need a generally entrepreneurial climate