WHILE MARCH will be remembered for the multi-billion euro bailouts of the banks, a more encouraging message from the month was the publication of the Innovation Taskforce Report. The prescription it offers is ambitious but seemingly achievable if it garners the sort of political support it deserves. There is a track record of wise counsel from such reports: consider the Telesis report in the 1980s and the Culliton report a decade later. Both proved useful roadmaps in our economic development, even if they weren’t always followed to the letter.
As the Taskforce outlines, ideas are the engine for recovery and growth. The investment levels it requires also represent the sort of public stimulus the country is crying out for. Unlike other nations we seem to have omitted the stimulus element from our recovery plans to date. The Taskforce recommendations represent investments that will reap rewards. Investing 3 per cent of GDP in research and development in an updated Strategy for Science Technology and Innovation seems eminently sensible. Incentives such as a 5 per cent tax rate on profits from innovative activity and a lower capital gains tax for start-ups in this area will renew our reputation for progressive tax policies on the international stage.
If the policymakers need any reassurance as to the opportunities on offer, they need look no further than the recent Irish TimesInnovation awards, in association with InterTradeIreland. For all the fine words and strategy documents, the 120 entries symbolised the level of innovation currently taking place in the Irish business arena. In the current economic climate their efforts are all the more impressive.
Congratulations to Sigmoid Pharma, which took the overall prize, but credit goes to all entrants. They represent innovation in action. While the Government’s focus of late has been on crisis management of the banking sector, attention must now fall on creating a new future. The Taskforce recommendations offers much-needed direction.
