Competitive tax breaks on a par with those in the Republic are needed in Northern Ireland in order to attract investment from overseas, the Ulster Unionist Party said yesterday.
The new Assembly would lead the economic "fight-back" in the North and help to "stem the tide of the brain drain", said Councillor Reg Empey.
Speaking at a news conference dealing specifically with the economy, Mr Empey said the UUP would develop and implement a regional strategy for Northern Ireland to see it into the new millennium.
"The Ulster Unionist Party wants to present the best possible package to a potential investor and, with that in mind, serious consideration needs to be given to what we have to offer," he said.
"There's no point talking about access to mainland European markets and a good roads infrastructure if we don't have competitive tax breaks to at least match those in the Republic of Ireland.
"It's generally accepted that capital and employment grants strike the right note, but industrialists also look carefully at the taxation regime, and this is one area we need to put under the microscope."
The past decade had seen significant growth in cross-Border trade, although this was a matter for individual businesses and companies, Mr Empey said. It was up to politicians to provide a framework in which cross-Border business could take place.
The Assembly provided the North with the opportunity to have a serious influence over its own affairs. Stability would have great implications, particularly with regard to the North's substantial connections with North America. "We believe there is tremendous opportunity to really crack long-term unemployment and also to stem the tide of what has been called the brain drain," said Mr Empey.
Mr Dermot Nesbitt, one of the negotiators during the peace agreement talks, said the public sector dominated the economy in Northern Ireland and funding for the public sector would probably fall in the future. The private sector now had to be encouraged.
He dismissed claims made by the Sinn Fein leader, Mr Gerry Adams, that the issues of "equality and discrimination" needed to be addressed in Northern Ireland. The reality was quite the reverse, he said.
Jobs would only be provided if there was stability, and this would only come about with permanent peace. The business community had learnt from the 1994 ceasefire that "once bitten, twice shy", and companies were reticent to commit to full investment until they were secure in the permanency of the peace.
"Peace will come from those who say that the war is over. They can find the words, but they must say it. And if that war is over, in will come the investment necessary to generate the jobs which will provide for those who are unemployed," said Mr Nesbitt.
The Industrial Development Board did not respond directly to the remarks made by Mr Empey about the need for tax incentives in the North to match those in the Republic. However, it is the IDB's contention that Northern Ireland offers "one of the most attractive incentive packages in Europe, as many multinational organisations have discovered when locating branches of their businesses or setting up co-operative ventures here."