Speech by the Taoiseach, Mr. Bertie Ahern, T.D., at the official opening of the - Chase Paymentech European Headquarters in the East Point Business Park, on Monday, 10 March, 2008 at 1.15 p.m.
I am delighted to have been invited to the East Point Business Park to officially open Chase Paymentech's European Headquarters.
East Point Business Park as Location
I understand that, over the next three years, as you expand your European operations, the Company plans to employ 100 people and that at least half of them will be based here in your Dublin office.
The East Point Business Park is the place of work for thousands of people. It is a great location for doing business - close to the City Centre, Dublin Airport, Dublin Port and Clontarf Road Dart Station. As a bonus, it is situated right on the edge of our beautiful Dublin Bay.
It is no surprise that it is home to a large number of high profile tenants. Chase Paymentech is in very good company!
Chase Paymentech
And here in East Point, you are, of course, close to some of the high profile names you count among your clients, including Google, AOL, Symantec and Yahoo. Other clients include Amazon, Dell and Apple. This is a very impressive client portfolio. But then again, Chase Paymentech is a world leader in its own right. A joint venture between JP Morgan Chase and KKR (First Data), it is in fact the world's largest merchant acquirer. The numbers are impressive, to say the least. Chase Paymentech:
- handled around 19 billion transactions in 2007;
- processed more than $760 billion dollars in annual merchant revenue;
- represents over 600,000 merchants in nearly one million locations around the world; and
- commands a 60% share of the internet payments area.
ePayments
I want to take the opportunity to say a little bit about ePayments. This can be an important source of competitiveness gains because reducing paper payments - wherever possible - reduces costs.
Recognising this, the Minister for Finance recently incentivised the transition to more efficient payment mechanisms in Ireland, by reducing stamp duty on cards and increasing it on cheques. The launch of the first phase of the Single Euro Payments Area and the Payment Services Directive, will in time lead to an EU - wide single market for payments. Together with the development of innovative payments offerings, all of this will in turn deliver greater efficiencies and choice both in Ireland and the EU generally.
The Government fully recognises, of course, that if we are to move away from a cash culture, we need easy and convenient alternatives and we have to proceed on the basis of partnership, dialogue, awareness raising and information sharing. I know that Chase Paymentech is very active in the area of alternative payments. And as it happens, my Department chairs the National Payments Advisory Group and we are looking forward to an in depth discussion of all the issues at the second National Payments Conference in the Royal Hospital, Kilmainham on 18 April next.
Chase Paymentech European Operation
2008 and 2009 will be busy years for Chase Paymentech at East Point, under the leadership of your Managing Director, Shane Fitzpatrick. I am told that you initially intend to target the Irish, UK, German, French, Italian and Spanish markets; and that you plan to focus on other domestic European countries in 2009.
I am very pleased to see that Dublin will also act as a hub for Asia/Pacific business. Ireland's strategic location enables us to form a bridging point between East and West to support 24 hour markets. I hope that many other companies will consider this advantage when making strategic decisions about future location.
Knowledge Capital
Chase Paymentech joins a growing number of European HQ operations locating in Ireland. We have a lot to offer - tax incentives; a skilled and flexible workforce; an education system that delivers for business; a supportive regulatory and legislative framework; easy access to the European market; a central location; and a pro-business Government. I believe that the main reason for choosing Dublin for your European HQ was our knowledge capital. Ireland's highly educated, high calibre workforce is widely recognised, at home and abroad, as one of the key reasons for our success and growth. Last year's IMD study ranked our education system in the top five countries in the world in terms of meeting key business needs. And this is borne out in practice by Companies of the calibre of Chase Paymentech choosing to locate in Ireland.
Financial Services Sector
Today's event also testifies to Ireland's prominent position in the financial services sector worldwide. Indeed, earlier this month, the City of London Global Financial Centres Index ranked Dublin as the 13th most important international financial centre in the world, ahead of Luxembourg and Amsterdam.
This is two places up from the previous Index, published in September, 2007. And when the top financial centres are looked at by reference to purely business factors, Dublin scored even better, at 10th place.
IDA Involvement
I want to congratulate IDA Ireland on their success in encouraging Chase Paymentech to locate in Dublin. I understand that London was also considered by the Company as its European Headquarters. I am delighted that good sense won out in the end!
EU Reform Treaty
Before I conclude, I want to say a few words about the EU Reform Treaty. Ireland’s membership of the European Union has been central to our prosperity and will remain so, long into the future. I have already today touched on some of the benefits for Ireland of EU membership, including the development of an EU wide single market for payments. And it is self-evident that companies like Chase Paymentech would not be setting up here if we did not belong to the European Union.
The EU Reform Treaty will enhance and improve the functioning of the Union that has assisted us so much already. It will support and sustain economic growth; create and protect jobs; promote international trade and environmental sustainability; and speed up decision making. The Reform Treaty is overwhelmingly in the interest of all of the citizens of Ireland and I would encourage everybody to become involved in the debate.
Conclusion
To conclude, I am sure that the years ahead will be very productive for Chase Paymentech as you grow your European operations. I wish you all every success and the very best of luck with this new venture.
Thank you very much for your attention.
ENDS.