Address by Mr. Noel Treacy T.D.,
Minister for Science, Technology and Commerce
at the Seminar on Rural Renewal
on Tuesday 30th November, 1999 at the Burlington Hotel, Dublin.

I am delighted to be here this evening to lend both my personal and political support to this very worthwhile seminar on Rural Renewal. I would like to sincerely congratulate both Leitrim County Council and the Leitrim Peoples Association on their initiative in organising this seminar and am sure the evening will prove to be very informative.

Ireland has been one of the fastest growing economies in the OECD during the 1990's. The policy approach which underlies this achievement has been built upon social partnership between the state and major economic and social interests.

Other factors which have contributed to what has become known as the "Celtic Tiger", are exceptionally high levels of foreign investment, prudent management of the public finances, which has contributed to very low levels of inflation, support from the European union under the Structural Funds and a developing "enterprise culture".

We are on course for continued strong economic growth of 7.5 per cent for 1999. As a result of this growth, 2,000 new jobs are being created by us every week. Unemployment has fallen to below six per cent, the lowest in a generation. At a local level there is an is an increased awareness of the need for close co-operation between community groups and public service providers. We now have the confidence in our own ability to develop the country for everyone's benefit.

Rural life has changed rapidly in the last decade. We can see increasing urbanisation in the growth of many of our towns. Coupled with this is a population decline in many districts, most notably in counties Leitrim, Roscommon and other parts of the Western Region. Changes at European level have a direct impact on our rural areas. The accession of Eastern European countries will inevitable put pressure on the current support structures provided by the European Union. Ireland is no longer seen as a poor country in either Europe or the wider world.

Throughout rural Ireland, agriculture has sustained the rural economy for many generations. While it will still continue to be the major generator of economic activity in rural areas, the long term trend is for the relative significance of conventional farming to decline, especially as a provider of employment and incomes. Indeed, at present the majority of rural dwellers are neither farmers nor directly dependent on agriculture.

Our rural areas are increasingly dependent therefore on wider rural development policies. As is shown in the recent White Paper on Rural Development - "Ensuring the Future" - one of our over-riding concerns is to diversify economically and to provide additional income and job creation opportunities in rural areas while cherishing the distinct persona and culture of our beautiful countryside. The maintenance of viable rural communities involves developing our natural advantages and potential to the full creation of greater opportunities for enterprise in rural areas both on and off farm.

At local level there is an increased awareness of the need for close co-operation between community groups and public service providers. We must now move forward with confidence in our own ability to develop the country to everyone's benefit.

One of the aims of this Government is to make rural Ireland a more attractive place to live in and for it to be on par with the standards of living and services enjoyed by urban dwellers. To do this community needs have to be met. Housing, the creation of sustainable jobs and the access of rural people to items such as Arts, Culture, Library Services, Theatre and Sports facilities are all issues which cannot be overlooked. While we in Government can put in place the conditions to promote and facilitate development, local and rural development is about people and the rural communities themselves who have a major role to play in contributing to their own development, through programmes like LEADER and the County and City Enterprise Boards.

The LEADER programme has been one of the major programmes for local development. By providing both the means and the funding, LEADER allows local groups to identify local needs and opportunities and to respond to best effect.

LEADER, which is an European Union initiative, has provided training, advice, support and encouragement to voluntary and community groups, small firms and individuals. Under LEADER TWO £94 million has been allocated to the 37 LEADER groups which manage the programme in their respective areas across all of Ireland.

Another milestone for local development was the establishment by me, of the first ever City and County Enterprise Board in Galway back in 1992. At that time national morale was at a low ebb and the economic outlook distinctly gloomy. Many concerns were then expressed that establishing the Enterprise Boards by us, would lead to

- The creation of yet another layer of bureaucracy,

- The proliferation of State support agencies, and

- the dissipation of scarce exchequer resources.

However the then vociferous critics have been proved totally wrong. The high level of success achieved by the Enterprise Boards is very impressive indeed, by any standards.

The original targets set for the County Enterprise initiative was to create 8,000 jobs in their first five years. Already, over 16,000 jobs have been created to date, in CCEB assisted enterprises. At a cost of about £4,000 per job, the Irish taxpayer is certainly getting value for money. Equally, the local communities in which these jobs are being provided, are deriving benefit's in terms of increased spending power and the uplift of local morale. No longer is the emigrant ship or the dole queue the lot of those individuals seeking to start and develop traded businesses, locally, nationally, or indeed, globally.

Finally, I would like to say that as a nation, we are now challenged to manage effectively the fruits of our success, and by continuing to make the correct choices, there is no reason why Ireland should not continue to perform in growth terms for years to come. With increased co-operation and co-ordination between politicians, public servants and community groups, there is a bright future ahead for rural Ireland.