Enterprise Ireland chief sees small firms thriving amid tech slowdown

Enterprise Ireland CEO Leo Clancy insisted that small firms can thrive in the current volatile economic environment while multinationals, such as large tech firms, have slimmed down due to headwinds.

Mr Clancy’s optimism about the future of SMEs was followed by reassurance that Ireland’s tech sector remains resilient, despite many firms slashing staff numbers across the globe due to inflation and interest-rate hikes.

“I believe that the Irish-owned exporting sector can and have will have a big impact on the medium term for this economy,” said Mr Clancy.

Mr Clancy made his remarks at the 41st UCC Commerce Society Conference, where Cork businesspeople including Diarmuid McSweeney of athleisure brand Gym + Coffee and Dr Holly Barry of the family-run wholesale firm Barry Group also spoke about the challenges and opportunities they are currently facing.

“Notwithstanding many of the challenges that we face in the world today, not least the barbaric war in Ukraine, I believe Ireland is uniquely placed for success,” said Mr Clancy.

Mr Clancy also voiced his concerns about the cautious comments made by experts in recent months, including the budgetary watchdog, on the over-reliance on foreign direct investment as a method to boost the economy.

“We often run the risk in Ireland of inventing and exaggerating problems and risks,” said Mr Clancy. "Everywhere does it, but we’re especially good at it in Ireland.

That in itself is a real risk for Ireland because it holds us back from exploring opportunities."

Mr Clancy previously worked with the IDA where he led tech investment into Ireland before taking up his current role with Enterprise Ireland.

“I don’t worry about the strength of foreign direct investment in the tech industry because I saw how it built out over eight years when I was leading that sector,” said Mr Clancy.

Reporting: The Irish Examiner