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Diplomacy in Action

Ireland (10/04)


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For the most current version of this Note, see Background Notes A-Z.

Flag of Ireland is three equal vertical bands of green (hoist side), white, and orange.

PROFILE

OFFICIAL NAME:
Ireland

Geography
Area: 70,282 sq. km. (27,136 sq. mi.); slightly larger than West Virginia.
Cities: Capital--Dublin (pop. 495,101). Other cities--Cork (123,338), Galway (65,774), Limerick (54,058), Waterford, (44,564).
Terrain: Arable 10%, meadows and pastures 77%, rough grazing in use 11%, inland water 2%.
Climate: Temperate maritime.

People
Nationality: Noun--Irishman, Irishwoman. Adjective--Irish.
Population: 3,917,203.
Population growth rate: 0.93%.
Ethnic groups: Irish, with English minority.
Religions: Roman Catholic 88.4%; Church of Ireland 3.0%; other 8.7%.
Languages: English, Irish (Gaelic).
Education: Compulsory up to age 16. Enrollment rates--5-14 year olds, 100%; 15 year olds, 97%; 16 year olds, 91%. Literacy--98%-99%.
Health: Infant mortality rate--5.3/1,000. Life expectancy at birth--male 73.0 yrs., female 77.5 yrs.
Work force: Services--56%; industry--29%; agriculture--10%; government--5%.

Government
Type: Parliamentary republic.
Independence: December 6,1921.
Constitution: December 29, 1937.
Branches: Executive--president, chief of state; prime minister (Taoiseach--pronounced "TEE-shuck"), head of government. Legislative--bicameral national Parliament (Oireachtas--pronounced "o-ROCK-tas"): House of Representatives (Dail--pronounced "DOIL") and Senate (Seanad--pronounced "SHAN-ad"). Judicial--Supreme Court.
Administrative subdivisions: 26 counties, 34 local authorities.
Major political parties: Fianna Fail, Fine Gael, Labor, Progressive Democrats, Green Party, Sinn Fein.
Suffrage: Universal over 18.

Economy
GDP at market prices (2003 est.): $149.4 billion.
Annual growth rate (2003 est.): 1.4%.
Per capita income (2003 est.): $38,308.
Natural resources: Zinc, lead, natural gas, barite, copper, gypsum, limestone, dolomite, peat.
Agriculture (5% of GDP): Products--cattle, meat, and dairy products; potatoes; barley; sugarbeets; hay; silage; wheat.
Industry (46% of GDP): Types--food processing, beverages, engineering, computer equipment, textiles and clothing, chemicals, pharmaceuticals, construction.
Trade (2002): Exports--$86.2 billion (excluding services): machinery, transport equipment, chemicals, food, live animals, manufactured materials, beverages. Imports--$51.2 billion (excluding services): grains, petroleum products, machinery, transport equipment, chemicals, textile yarns. Major suppliers--EU 64% (U.K. 36%, Germany 6%, France 4%), U.S. 16%, Japan 5%, China 4%.

PEOPLE AND HISTORY
The Irish people are mainly of Celtic origin, with the country's only significant sized minority having descended from the Anglo-Normans. English is the common language, but Irish (Gaelic) is also an official language and is taught in schools.

Anglo-Irish writers such as Swift, Sheridan, Goldsmith, Burke, Wilde, Joyce, Yeats, Shaw, and Beckett have made a major contribution to world literature over the past 300 years.

The earliest inhabitants--people of a mid-Stone Age culture--arrived about 6000 BC. About 4,000 years later, tribes from southern Europe arrived and established a high Neolithic culture, leaving behind gold ornaments and huge stone monuments. The Bronze Age people, who arrived during the next 1,000 years, produced elaborate gold and bronze ornaments and weapons.

The Iron Age arrived abruptly in the fourth century BC with the invasion of the Celts, a tall, energetic people who had spread across Europe and Great Britain in the preceding centuries. The Celts, or Gaels, and their more numerous predecessors divided into five kingdoms in which, despite constant strife, a rich culture flourished.

The coming of Christianity from across the Irish Sea brought major changes and civilizing influences. Tradition maintains that St. Patrick arrived on the island in AD 432 and, in the years that followed, worked to convert the Irish to Christianity.

The pagan druid tradition collapsed before the spread of the new faith, and Irish scholars excelled in the study of Latin learning and Christian theology in the monasteries that flourished. Missionaries went forth from Ireland to England and the continent, spreading news of the flowering of learning, and scholars from other nations came to Irish monasteries. The excellence and isolation of these monasteries helped preserve Latin and Greek learning during the Dark Ages. The arts of manuscript illumination, metalworking, and sculpture flourished and produced such treasures as the Book of Kells, ornate jewelry, and the many carved stone crosses that dot the island.

Two hundred years of Viking invasion and settlement was later followed by a Norman conquest in the 12th century. The Norman conquest resulted in the assimilation of the Norman settlers into Irish society. The early 17th century saw the arrival of Scottish and English Protestants, sent as colonists to the north of Ireland and the Pale around Dublin.

In 1800 the Irish Parliament passed the Act of Union with Great Britain, and Ireland was an official part of the United Kingdom until 1921. Religious freedom, outlawed in the 18th century, was restored in 1829, but this victory for the Irish Catholic majority was overshadowed by a severe economic depression and the great famine from 1846-48 when the potato crop failed. Millions died, and the millions that emigrated spawned the first mass wave of Irish emigration to the United States. A decade later, in 1858, the Irish Republican Brotherhood (IRB--also known as the Fenians) was founded as a secret society dedicated to armed rebellion against the British. An aboveground political counterpart, the Home Rule Movement, was created in 1874, advocating constitutional change for independence.

Galvanized by the leadership of Charles Stewart Parnell, the party was able to force British governments after 1885 to introduce several home rule bills. The turn of the century witnessed a surge of interest in Irish nationalism, including the founding of Sinn Fein ("Ourselves Alone") as an open political movement.

Nationalism was and is a potent populist force in Irish politics. A home rule bill passed in 1914, but its implementation was suspended until war in Europe ended. Believing the mantra: "England's problem is Ireland's opportunity," and tapping into a mood of Gaelic revivalism, Padraic Pearse and James Connolly led the unsuccessful Easter Rising of 1916. Pearse and the other 1916 leaders declared an independent Irish republic, but a lack of popular support doomed the rebellion, which lasted a week and destroyed large portions of Dublin. The decision by the British military government to execute the leaders of the rebellion, coupled with the British Government's threat of conscripting the Irish to fight in the Great War, alienated public opinion and produced massive support for Sinn Fein in the 1918 general election. Under the leadership of Eamon de Valera, the elected Sinn Fein deputies constituted themselves as the first Dail. Tensions only increased: British attempts to smash Sinn Fein ignited the Anglo-Irish War of 1919-1921.

The end of the war brought the Anglo-Irish treaty of 1921, which established the Irish Free State of 26 counties within the British Commonwealth and recognized the partition of the island into Ireland and Northern Ireland, though supposedly as a temporary measure. The six predominantly Protestant counties of northeast Ulster--Northern Ireland--remained a part of the United Kingdom with limited self-government. A significant Irish minority repudiated the treaty settlement because of the continuance of subordinate ties to the British monarch and the partition of the island. This opposition led to further hostilities--a civil war (1922-23), which was won by the pro-treaty forces.

In 1932, Eamon de Valera, the political leader of the forces initially opposed to the treaty, became Prime Minister, and a new Irish constitution was enacted in 1937. The last British military bases were soon withdrawn, and the ports were returned to Irish control. Ireland was neutral in World War II. The government formally declared Ireland a republic in 1948; however, it does not normally use the term "Republic of Ireland," which tacitly acknowledges the partition, but refers to the country simply as "Ireland."

GOVERNMENT AND POLITICAL CONDITIONS
Ireland is a sovereign, independent, democratic state with a parliamentary system of government. The president, who serves as chief of state in a largely ceremonial role, is elected for a 7-year term and can be re-elected only once. In carrying out certain constitutional powers and functions, the president is aided by the Council of State, an advisory body. On the Taoiseach's (prime minister's) advice, the president also dissolves the Oireachtas (Parliament).

The prime minister is elected by the Dail (lower house of Parliament) as the leader of the political party, or coalition of parties, which wins the most seats in the national elections, held approximately every 5 years (unless called earlier). Executive power is vested in a cabinet whose ministers are nominated by the Taoiseach and approved by the Dail.

The bicameral Oireachtas (Parliament) consists of the Seanad Eireann (Senate) and the Dail Eireann (House of Representatives). The Seanad is composed of 60 members--11 nominated by the prime minister, 6 elected by the national universities, and 43 elected from panels of candidates established on a vocational basis. The Seanad has the power to delay legislative proposals and is allowed 90 days to consider and amend bills sent to it by the Dail, which wields greater power in Parliament. The Dail has 166 members popularly elected to a maximum term of 5 years under a complex system of proportional representation. A member of the Dail is known as a Teachta Dala, or TD.

Judges are appointed by the president on nomination by the government and can be removed from office only for misbehavior or incapacity and then only by resolution of both houses of Parliament. The ultimate court of appeal is the Supreme Court, consisting of the chief justice and five other justices. The Supreme Court also can decide upon the constitutionality of legislative acts if the president asks for an opinion.

Local government is by elected county councils and--in the cities of Dublin, Cork, Limerick, and Waterford--by county borough corporations. In practice, however, authority remains with the central government.

Irish politics remain dominated by the two political parties that grew out of Ireland's bitter 1922-23 civil war. Fianna Fail was formed by those who opposed the 1921 treaty that partitioned the island. Although treaty opponents lost the civil war, Fianna Fail soon became Ireland's largest political party. Fine Gael, representative of the pro-treaty forces, remains the country's second-largest party. The Progressive Democrats, Labour, Sinn Fein, and the Greens are the other significant parties. In the 2002 general elections, "Independent" TDs began to emerge as a political force, with 14 "Independent" TDs elected to the Dail.

The May 2002 national elections returned Fianna Fail and its coalition partner, the Progressive Democrats, to power. Bertie Ahern was re-elected Taoiseach and Mary Harney was reappointed as Tanaiste (Deputy Prime Minister).

Local and European elections were held in June 2004, along with a referendum in which Irish voters approved by a margin of four-to-one a measure to end the country's automatic grant of citizenship to children born on Irish soil. In September 2004, Ahern shuffled the cabinet in a move that was widely interpreted as an attempt to position his party for elections in 2005, while Mary McAleese was appointed to a second seven-year term as President in October 2004 after opposition parties failed to nominate alternative candidates.

Northern Ireland
Consolidating the peace process in Northern Ireland and encouraging the full implementation of the 1998 Good Friday Agreement (GFA) remain U.S. priorities in Ireland.

The conflict in Northern Ireland stems from a history of British rule, historical animosity between Catholics and Protestants, and the various armed and political attempts to unite Northern Ireland with the rest of the island. "Nationalist" and "republican" groups seek a united Ireland, while "unionists" and "loyalists" want Northern Ireland to remain part of the United Kingdom. After decades of violence by both unionist and republican paramilitaries, most notably the Irish Republican Army (IRA), the British and Irish governments negotiated an IRA ceasefire in 1994, which was followed by the landmark U.S.-brokered Good Friday Agreement (GFA) in 1998.

The GFA established a power-sharing legislative assembly to serve as the autonomous local government of Northern Ireland. The 108-member Northern Ireland Assembly is led by a first minister and deputy first minister, one from each of the two communities, and a 10-minister executive. The GFA also provided for changes in both the British and Irish constitutions. Ireland ceded territorial claim to Northern Ireland, and the U.K. agreed that Northern Ireland could become part of Ireland if a majority (north and south) so voted in the future. Finally, the GFA provides the blueprint for "normalization," to include the eventual removal of British forces, devolution of police and justice functions, and guarantees of human rights and equal opportunity for all individuals. The agreement was approved in a referendum by 71% of Northern Ireland voters and 95% of Irish voters.

The major political parties in Northern Ireland are the Democratic Unionist Party (DUP), Sinn Fein, the Ulster Unionist Party (UUP), and the Social Democratic and Labor Party (SDLP). The UUP and SDLP are centrist unionist and republican parties, respectively, while Sinn Fein is strongly republican and the DUP is strongly unionist. From the time the Assembly was created in 1998 until 2003, the UUP and SDLP were the governing parties.

In October 2002, the British Government suspended (for the fourth time) the Assembly, following a breakdown in trust between unionists and republicans. The British and Irish Governments began discussions with the parties to try to resolve longstanding unresolved differences between the communities, and to secure a commitment from Sinn Fein that republicans would divest themselves of all paramilitary activities and capabilities.

Efforts to restore the political process in time to stage new elections to the Assembly in May 2003 broke down when Ireland and the U.K. concluded they did not have sufficient assurances from the republicans in Northern Ireland. However, Ireland and the U.K. proceeded to publish a joint declaration, mapping out the timetable to full implementation of the GFA. The governments also created an International Monitoring Commission to serve as a forum to hear complaints of alleged breaches of GFA commitments by the political parties and/or by British authorities. The four-member commission includes a representative from the United States. It issued its first report in April 2004, in which it criticized republican and loyalist paramilitary groups for illegal activities.

The British and Irish Governments attempted again in October 2003 to conclude a deal with the parties to restore government, but failed to reach agreement. However, elections to the suspended Assembly went forward in November 2003; these elections turned the more moderate UUP and SDLP out of power and installed the strongly unionist DUP and strongly republican Sinn Fein. The Assembly remains suspended, as the DUP refuses to enter into dialogue or government with Sinn Fein until the IRA ends all paramilitary activities and decommissions its weapons. The British and Irish Governments are engaged in ongoing efforts with the parties to restore the political process and restore devolved government, including the Leeds Castle talks in September 2004.

The United States supports the efforts of the British and Irish Governments to restore the democratic process in Northern Ireland and to fully implement the GFA. The U.S. remains engaged in dialogue with all parties, in coordination with our Embassies in Dublin and London, our Consulate in Belfast, and the office of the President's Special Envoy for Northern Ireland.

The United States also continues to provide funding ($25 million in 2003) for projects administered under the International Fund for Ireland, created in 1986 to generate economic opportunity and cross-community engagement in the border areas, both north and south.

Principal Government Officials
President--Mary McAleese
Taoiseach (Prime Minister)--Bertie Ahern
Tanaiste (Deputy Prime Minister) and Minister of Health and Children--Mary Harney
Ambassador to the United States--Noel Fahey

The Irish Embassy in the United States is at 2234 Massachusetts Ave. NW, Washington, DC 20008 (tel. 202-462-3939/40/41/42). Irish Consulates are located in New York, Chicago, Boston, and San Francisco.

ECONOMY
Ireland boasts a vibrant, globalized economy, with GDP per capita second only to Luxembourg's in the EU. The "Celtic Tiger" period of the mid-late 1990s saw successive years of double-digit GDP growth, driven by a progressive industrial policy that boosted large-scale foreign direct investment and exports.  In recent years, Ireland has experienced more moderate growth, coupled with inflation rates above the EU average.  The 2003 world economic slowdown affected Ireland as GDP growth slowed to 3.7% and the government budget fell into deficit. The economy has strengthened in 2004, however, with projections of a government surplus and annual GDP growth of 4.7%. 

In 2003, U.S. exports to Ireland were valued at $7.7 billion, less than a third of the value of Irish exports to the U.S. ($25.8 billion). The range of U.S. products includes electrical components, computers and peripherals, drugs and pharmaceuticals, electrical equipment, and livestock feed. Irish exports to the United States represent approximately 15%-20% of all Irish exports. The U.S. is Ireland's second-largest export destination-second only to the U.K. Exports to the United States include alcoholic beverages, chemicals and related products, electronic data processing equipment, electrical machinery, textiles and clothing, and glassware.  In the first six months of 2004, Irish exports to the United States fell by 1% compared to the same period in 2003, while Irish imports from the United States rose by roughly 1%.

In 2004, the United States contributed $18.5 million to the International Fund for Ireland, a program that supports cross-border initiatives, cross-community reconciliation, and economic development.

U.S. investment has been particularly important to the growth and modernization of Irish industry over the past 25 years, providing new technology, export capabilities, and employment opportunities. Ireland, with 1% of the European Union's (EU's) population, has attracted 25% of all new U.S. "greenfield" investment in Europe since 1997. In 2003, there was $9.1 billion worth of new U.S. investment in Ireland, more than twice the U.S. investment flow to China. Currently, there are more than 570 U.S. subsidiaries, employing approximately 90,000 people and spanning activities from manufacturing of high-tech electronics, computer products, medical supplies, and pharmaceuticals to retailing, banking and finance, and other services. 

Many U.S. businesses find Ireland an attractive location to manufacture for the EU market, since it is inside the EU customs area. Government policies are generally formulated to facilitate trade and inward direct investment. The availability of an educated, well-trained, English-speaking work force has also been an important factor, though wage increases over the past five years have significantly exceeded the EU average. Ireland offers good long-term growth prospects for U.S. companies under an innovative financial incentive program, including capital grants and favorable tax treatment, such as a low corporation income tax rate for manufacturing firms and certain financial services firms.

FOREIGN RELATIONS
Ireland is a member of numerous international organizations, including the United Nations, the Organization for Security and Cooperation in Europe, and the European Union. Ireland held the rotating EU Presidency in the first half of 2004.

U.S.-IRISH RELATIONS
U.S. relations with Ireland have long been based on common ancestral ties and on similar values and political views. These relations, however, have now broadened and matured, given the substantial U.S. corporate involvement in the Irish economy. The United States seeks to maintain and strengthen the traditionally cordial relations between the people of the United States and Ireland.

Economic and trade relations are an important element of the bilateral relationship. U.S. investment has been a major factor in the growth of the Irish economy, and Irish membership in the European Union means that discussion of EU trade and economic policies, as well as other aspects of EU policy, are a key element in exchanges between the two countries.

Emigration, long a vital element in the U.S.-Irish relationship, declined significantly with Ireland's economic boom in the 1990s. For the first time in its modern history, immigration to Ireland, especially of non-Europeans, is a growing phenomenon with political, economic, and social consequences. However, Irish citizens do continue the common practice of taking temporary residence overseas for work or study, mainly in the U.S., U.K., and elsewhere in Europe, before returning to establish careers in Ireland.

Principal U.S. Officials
Ambassador—James Kenny 
Deputy Chief of Mission--Jonathan Benton
Management Officer--Michael Scanlon
Commercial Attach�--Dale Tasharski
Consular Officer--Daniel Toma
Defense Attach�--COL John O'Sullivan
Economic Officer--Joe Young
Political Officer--Mary Daly
Public Affairs Officer--Michael McClellan

The U.S. Embassy in Ireland is located at 42 Elgin Road, Ballsbridge, Dublin 4 (tel. 668-7122; fax 668-9946).



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