THERE has been a dramatic fall in the number of Northern Ireland companies going into liquidation, according to the latest figures from the business information company, Dun & Bradstreet.

The figures reveal that only 79 businesses failed during the first three months of 1997, compared to 141 for the same period last year, a fall of 44 per cent.

Mr Paul Rooney, partner in the Business Recovery and Insolvency Division of the management consultants, Coopers & Lybrand, said although recent surveys had shown a distinct lack of confidence among the Northern Ireland business community, the fall in business failures suggested that the underlying economy remained sound, and that it was well placed for a recovery during the second half of this year.

"Both liquidations and bankruptcies are well down on the same period two years ago," he said.

Rooney said that viewed sector, the construction industry remained relatively depressed, while failures in the manufacturing sector were down only marginally since 1995. The key to growth over the next 12 months, he said, was investment.

"There is no crisis in the Northern Ireland economy," he said, "and the number of business failures could fall even further if companies were to seek professional help at the first sign of trouble."

Although the number of liquidations in the manufacturing, catering, service, and investment categories was down on a year ago, the number of wholesalers facing liquidation in the first quarter of this year rose to seven, two more than in 1996.