The new president of the American Chamber of Commerce, which represents the interests of US multi-nationals operating here, has called on the Government to commit itself to the 'lowest possible' rate of corporation tax.
Intel Ireland general manager Jim O'Hara said the Government should not be suggesting that the current 12.5% rate was 'as good as it gets', in light of a global trend towards lower tax rates.
Mr O'Hara sad Ireland faces its most serious challenge yet in trying to attract foreign investment, adding that it had many attractions but was 'moving up the cost league table'.
On education, he said the battle to encourage students to pursue careers in science and education was already being lost at second level. Mr O'Hara said we needed to go 'back to basics' at primary level.
He said research and development spending was well below EU targets, and expressed disappointment that a more generous tax credit system was not introduced in the Budget.
Mr O'Hara said the National Development Plan, to be published tomorrow, must address the transport, telecoms and energy infrastructural deficits, and the imbalance between Dublin and the rest of the country.
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According to a new survey from the American Chamber of Commerce almost three quarters of US multinationals operating in Ireland said their international colleagues say the cost of doing business here is too expensive.
Half of the 55 companies surveyed said it is becoming more difficult to get additional investment from their parent company because of a hike in costs over the past two years.
Three quarters say the cost of doing business is the main factor affecting the development of their business here - with transport, telecom, energy infrastructure, Government policies and European policies other considerations.
However, in the short term the outlook for job creation and investment by US firms remains upbeat with nearly half expecting to create more jobs over the next year and a half.
