IDA Ireland will provide financial assistance to a Dublin-based global publishing and online marketplace, Ecountries.com, through a special investment fund for technology companies.

The State agency's board has granted the assistance, which is based on the number of jobs created by the firm, as part of its strategy to lure high-tech potential start-ups into the Republic.

Financial assistance will be made available from a £5 million (€6.3 million) fund established last year by the IDA board.

This fund uses less stringent evaluation criteria than normal IDA grant assistance. Unlike Enterprise Ireland, it does not require the recipient to offer an equity stake in the venture.

Ecountries, which was co-founded by Dubliner and former managing editor of FT.com Mr Donal Smith, recently completed a $3 million (€3.4 million) funding round, bringing investment in the firm to $10 million this year.

Existing shareholders - UK venture capitalists 3i, Pie Capital and Elder Street - took part in the recent funding and the company is talking with potential Irish and US investors.

The company provides analysis of news that affects global business to several organisations such as ABCNews.com, the 24hour Internet operation of ABC News; Work.com; Hoovers; and Independent News And Media.

Ecountries has also signed a content deal with Internet publisher Yahoo.

As well as selling its content to other online media, Ecountries generates revenue by offering a marketplace of accredited suppliers - such as market research, translation, recruitment and professional services.

Mr Alex Chisholm, marketplace director with Ecountries, said the firm had posted tenders worth more than $2 million on its site since being formally launched in September.

Ecountries has offices in Dublin, London and New York, and has recently established an operation in Hong Kong.

The IDA assistance will be drawn down as it recruits more Irish staff. Ten people work in Dublin, but this is expected to rise to 20 a year from now.

Other companies that have benefited from the IDA's special fund include: Goto.com, Jinny Software, Hush Communications and Double Click. About $2.5 million has been allocated so far.