Dublin has been named among the top European cities for foreign direct investment, according to a new survey, ranked as the best small region of the future.

The list was compiled by FDI magazine, which is published by the Financial Times, and covers 505 location, 319 cities and 148 regions.

Its placings were driven by a top billing in economic potential and business friendliness categories, with an eighth place ranking for human capital and lifestyle, the first time it has broken into the top 10.

Strong performance

The city was also named as second in the best overall region rankings, and came third in the list of cities.

"The continued strong performance of Dublin in these FDI rankings reflects the city's success at attracting investment despite significant challenges," said Dublin City Council chief executive Owen Keegan.

“The success is driven by the city’s well established global reputation as a great place to do business. Public policy has and will continue to play a key supporting role.”