The chairman of the Small Firms Association has told its annual conference that the current economic boom has been fuelled by easy credit.
Pat Crotty said this had encouraged some businesses into speculative rather than productive activity. He said that amidst 'all the euphoria' about rising house prices, SSIAs and buoyant consumer spending, it had gone unnoticed that the traded sectors of the economy were in recession.
He pointed to figures showing that the value of exports in 2005 was 5% below the 2002 level, and Ireland's share of total EU exports had dropped. Mr Crotty said the country's prosperity depended on selling more goods and services on the world market.
He called for more Government measures to support innovation in the services sector, while there was also a need to encourage maths and science subjects at second and third level.
The SFA has announced that it will launch a National Centre of Excellence for Owner-Managers, with the support of FÁS. This will provide subsidised training for managers.
