Some £9.6 million is being spent on the Aghalane bridge project in an example of cross-Border co-operation on road infrastructure, which many people in the northwest would like to see repeated.
With no train service in Donegal, the roads are of crucial importance, yet they are below the standard of many other parts of the State.
Practically all the main routes into the county pass through the North and cross-Border co-operation is therefore seen as vital, as the importance of these roads can best be assessed in the context of the island as a whole.
Investment south of the Border is also seen as disproportionately low. Statistics compiled by the Western Development Commission show that in the seven western counties from Clare to Donegal, spending between 1994 and 1999 on national primary and secondary routes accounted for only 5 per cent of the total allocation, yet these counties make up 38 per cent of the land-mass of the State.
Mr Brendan McGinty, the regional director of IBEC, says plans in the recent national roads needs survey may compound problems in the north-west. The N16 from Sligo to Enniskillen is not due for upgrading until 2015.
"This doesn't take into account the socio-economic importance of that route. It is of critical importance because it gives industry in the west access to the port of Larne," he says.
The irony is that this route is identified as part of the trans-European road network, he adds.
A joint business council between IBEC and the Confederation of British Industry in the North, has identified road infrastructure as a priority. Mr McGinty says business in the north-west expects an increased level of co-operation on infrastructure to be one of the benefits of the Belfast Agreement.
The opening of the Aghalane bridge, in addition to the new bypass around Cavan, will shorten the journey time between south Donegal and Dublin by more than 20 minutes.
From north Donegal, the road to Dublin through Strabane and Omagh is also in need of upgrading, according to IBEC. The Letterkenny to Derry road is the other important cross-Border route.
In the SDLP-UUP agreement on government departments and cross-Border bodies, there is no specific implementation body on transport. However, it is identified as one of six "matters for co-operation" to be addressed by the North-South ministerial council.
The SDLP's economy spokesman, Mr Sean Farren, says he believes this will result in a more co-ordinated approach in terms of planning infrastructure developments. It will then be a question of getting agreement on the implementation of the plans and of finding the money to carry them out.
He says there is considerable demand for improved cross-Border infrastructure from a number of perspectives, including general commerce, international trade through Larne, tourism and health.
There is already evidence of increased co-operation. Cross-Border networks of county councils along the length of the Border have been set up. The two governments are also required to include a "common chapter" in their submission to Brussels for structural funds.
This should help to ensure an emphasis on cross-Border projects.
The Western Development Commission is also calling for a more co-ordinated approach. Its chief executive, Mr Liam Scollan, says good road infrastructure, in particular the link to Larne, would greatly increase the prospects of new inward investment to Donegal.
He says authorities on both sides need to explore spending priorities jointly.
"As the Irish Government sets about creating its national plan for 2000-2006, it will need to address the new reality that national road planning does not stop at the Border to the North. Such plans from now on should be proofed against their contribution to regional and cross-Border regional development," Mr Scollan says.