Foster: Taking advantage of the exchange rate

Enterprise Minister Arlene Foster believes the strength of the euro, dollar and yen can help give Northern Ireland a competitive advantage.

The Minister was speaking to members of the Newry Chamber of Commerce event in the Canal Court Hotel, today.

Arlene Foster said: “The current strength of the euro, dollar and yen can give Northern Ireland’s tourist industry and retail sector a relative competitive advantage.

“Newry, along with other border towns and cities, is experiencing a welcome boost in the trade of commercial and retail goods with the arrival of shoppers from the Republic of Ireland.

“The recent Experian Footfall Index has shown that there was a consistent increase in the number of people shopping in Northern Ireland in 2008, than in 2007. The week commencing 22 December 2008 saw a 25.4% increase on the corresponding week in the previous year.

“While we must continue to take advantage of the weak sterling we should also recognise that, the global downturn means that many of our trading partners are also experiencing economic turmoil, resulting in potentially lower demand in some of our key markets.”

The Minister outlined what her department and the Executive as a whole are doing to help local businesses address the global economic downturn.

She said: “My Department, working through Invest NI, is committed to helping businesses through these difficult times. The recent credit crunch events are helping businesses to identify how they can better cope with current economic difficulties.

“Before Christmas, I also announced a range of support measures. These included the provision by Invest NI of £5million to provide fast track, on-site advice to client companies. In addition, I am awaiting the report from a special sub-group of the Economic Development Forum with further ideas to help business through the economic downturn.

The Northern Ireland Executive is doing all that it can, within its powers, to help, such as providing £44.5million worth of investment to alleviate pressures on the construction industry. This is on top of the £1.2billion of Public Sector Construction Schemes that are currently on site. The Executive will continue to work hard to support business at this critical time.”

The Minister believes tourism is a key contributor to the Northern Ireland economy. She said: “Despite the wider economic climate, statistics for the first half of 2008 show that tourist numbers and the amount they spent here were up compared to the same period in 2007.

“We must build on this achievement and take advantage of the weak pound. Now is the time for Government, its agencies and local tourism providers to work together to improve our ability to compete globally, for both leisure and business visitors.

“The Northern Ireland Tourist Board is continuing to work with local authorities and stakeholders to develop the Mournes and the St Patrick’s/Christian Heritage Tourism Signature Projects. Upon completion, these will represent key tourist attractions for Newry, as a key gateway into Northern Ireland.”

The Minister does not underestimate the impact of short-term pressures on local businesses across Northern Ireland. She said: “In this challenging climate, it would be tempting to focus on the ‘here and now’. However, it is also important that we keep focused on the medium to longer term priorities laid out in the Programme for Government (PfG).

“We have ambitious goals for the economy and, because of the downturn, we may need to be more patient as we seek to achieve them.

“I am determined to help where I can and as such, have launched an Independent Review of Economic Development Policy for my department and Invest NI. I want to ensure that we do all we can to put our local businesses in pole position when the global and national economies begin to rebound.”

Notes to Editors

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