Forfas 2009 - The National Documentation Centre on Drug Use

Figure 6 Contribution of Foreign Owned Agency Assisted Companies in the Irish
Economy, 2000 – <strong>2009</strong> (€bn)
Source: Annual Business Survey of Economic Impact 2008, Forfás, <strong>2009</strong>
<strong>The</strong> output of foreign owned companies increased by 3.6 per cent in 2008, which represents
an increase in output of 45 per cent since 2000. This can be compared to an increase of 51
per cent in exports over the same period.
Direct expenditure by foreign owned firms amounted to €21bn in 2008, comprising €7.8bn on
payroll costs, €2.9bn on materials produced in Ireland and €10.2bn on services purchased in
Ireland. This represents an increase in the expenditure by foreign firms in the Irish economy
of 4.7 per cent in 2008.
Foreign owned value added increased by 3 per cent in 2008 and 45 per cent since 2000.
However, value added as a proportion of output was 43 per cent in 2008, equal to the
proportion recorded for foreign-owned firms in 2000.
Corporation Tax Payments
In addition to their expenditure in the economy, manufacturing and internationally traded
and financial services companies provide a very significant direct return to the Exchequer by
way of corporation tax payments.
<strong>The</strong> total corporation tax yield from all sources was €5bn in 2008. It is estimated that agency
assisted firms in the manufacturing and internationally traded services sectors accounted for
€2.3bn, with an additional €850m from internationally traded financial services firms,
amounting to €3.2bn (63 per cent) of the €5bn total corporation tax paid in the economy.
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140
120
100
80
60
40
20
0
Billion
2000 2001 2002 2003 2004 2005 2006 2007 2008 <strong>2009</strong>(e)
Sales Exports Value Added Irish Economic Expenditure