A common approach to promote the economic development of the north-west region is to be explored following the first board-level meeting of IDA Ireland and its Northern equivalent, the IDB, in Belfast yesterday.

Members of the bodies agreed to share information and develop marketing initiatives for the Donegal, Derry, Limavady and Strabane areas.

It was announced that both development organisations are building partnerships with local councils and economic bodies which are already working together on a range of initiatives.

The chief executives of the IDA and IDB, Mr Sean Dorgan and Mr Bruce Robinson, made presentations on the strategies and challenges being tackled by both organisations at yesterday's meeting.

Prof Neil Hood of the University of Strathclyde presented a paper on the need to develop a balance between urban and rural areas in the distribution of foreign direct investment.

Mr Denis Hanrahan, IDA chairman, described the meeting as "extremely useful". He said its main focus was the economy of the north-west and the boards had asked staff to look closely at steps to strengthen the economy and increase employment opportunities throughout the region. Dr Alan Gillespie, IDB chairman, said there were a number of issues and challenges common to both organisations in the northwest region such as access, infrastructure and an underdeveloped industrial base. He said the meeting of the boards was a logical development of contacts at many levels between individual members and executives over many years.

However, it is understood the two organisations will continue to compete for major inward investment projects despite yesterday's meeting.