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President Michael D Higgins at The Exchange, Buncrana 15.09.14

President Michael D Higgins' address at The Exchange, Buncrana, on Saturday, September 13, 2014.

I am delighted to be here in this beautiful part of the country, whose striking landscapes are as renowned as the hospitality of the people. I would like to express my thanks to Doctor Adrian Grant, Chairman, and his colleague in The Exchange Management Committee, Bernie Doherty, for their kind invitation to visit Buncrana this morning. May I also thank all of you for your warm welcome.

It is a particular pleasure to be here in this building in its new life. A building which once housed the town’s Social Welfare Office has started a new existence as a hub for social enterprise and community activities. Of course, this is not to suggest that state services should ever be seen as competitors with self-reliant community initiatives: a partnership between both is essential to the thriving of our economy and society.

I was interested to learn that the idea for this impressive facility came from community and social entrepreneurs who saw the need to complement the basic services provided by the state and who recognised that opportunities existed to enrich the local socio-economic fabric, and to break new ground by harnessing the energy and creativity of grassroots.

The activities of the six member groups who founded The Exchange constitute in an exemplary way a vision of human flourishing that goes beyond the provision of any minimal version of basic needs: indeed music, dance and drama, civic education, a concern for mental health, or a knowledge of the local history are essential components of our leading rich and fulfilling existences. It is wonderful to see local community groups involved in various sectors of activity come together and share their rich experience under the same roof, or, as it is, under the umbrella of a single organisation bearing the beautiful name of “The Exchange”.

As unemployment remains the most pressing challenge to be addressed in Ireland today, in particular long-term unemployment and youth unemployment, and in particular in border areas, it is important that communities can avail of schemes such as this one, which not only generate new possibilities for local economic activity by breaking the boundaries between the economic, the social and the cultural, but also, at the same time, create the conditions for all members of the community, even those without a job, to feel that they can fully participate in their society.

May I, then, very sincerely congratulate all those involved in The Exchange for championing a model of economic development that is socially embedded. Indeed the economy and society are profoundly embedded in one another, and as we are moving away from bogus models based on often undeclared, and perilous assumptions as to the autonomy and rationality of “the market”, it is to be hoped that there will emerge a widely shared discourse that measures economic value in terms of its social gains.

All parts of society and of the community can share in, and contribute to, our economic renewal. As the Action Plan for Jobs 2012 noted, there is a strong Social Enterprise base in Ireland, which, if developed, could have significant positive impact on job creation.

Let us consider the numbers for a moment: the non-profit sector in Ireland, in its broadest sense, employs an estimated 100,000 people, generating an income of over €6 billion. Within this, the social enterprise sector employs between 25,000 and 33,000 people in over 1,400 social enterprises, with a total income of around €1.4 billion.

The European Commission has placed the social economy and social innovation at the heart of its strategy for the coming decade. Social enterprise already accounts for about 6% of GDP across the EU. And if the Irish social enterprise sector were to approach mean EU levels, it is estimated that there could be at least 65,000 people employed in social enterprises in Ireland.

Thus social enterprise is a small but growing part of Ireland’s enterprise base and has the potential to play an even more significant role in the creation of more jobs and the building of vibrant, sustainable and socially inclusive communities. With the appropriate enabling effort, there is no reason why this cannot be achieved. We can see the results of such cooperation between Government, state agencies, local LEADER and partnership groups, and the community and voluntary sector here today in Buncrana.

Social enterprise, of course, is not a recent invention. Rooted as it is in local and community development, it goes right back to the early days of the co-operative movement and is very much linked to a vision of the economy as being multifunctional and multidimensional.

It is interesting to speculate on how extreme individualism in a culture of insatiability came to be privileged over co-operative economic activity. At its roots that choice is built on an assumption that greed or a possessive instinct is central to human nature rather than a desire to cooperate in the meeting of needs and in the pursuit of real personal and social flourishing.

The common aim among social enterprises is to address social need. They are set apart from traditional charities because they gain some income from trading, and see commercial activity as an important feature in ensuring their long-term sustainability. They are, on the other hand, set apart from conventional business because the financial surpluses, or profits, are used to fulfil a social mission and are not distributed to shareholders.

They contribute to improving the local social fabric and to promoting in many ways the diversification of the economy. Importantly, social enterprises have the ability to provide jobs to those most distant from the main labour market, both spatially and socially.

It is my profound conviction that this model, as business model, as model of healthy territorial development, and as model of ethical concern, has a long and thriving future ahead of it. It needs to be given a far more central role by policy makers, although things are already improving at global level.

In the letter he wrote to me last April, Bernie Doherty said that he hoped that this building would become “a place of note, a place of learning, of ideas exchanged, debated, argued and embraced.” Well it seems to me, having seen what you have achieved within these walls, that The Exchange does provide a space for the people of Buncrana to stand back and take a critical look at the world they live in and to creatively explore ways of improving what they see.

This is a place that encourages people both to cultivate new personal skills and to participate, consciously and actively, in the development of society. It is a place in which people are given the backing they need to champion new ideas, make a difference in their community, and forge new ways of thinking about the challenges that face us now and into the future.

We are fortunate in this country to have such a vibrant and diverse non-profit sector – thousands of organisations that contribute to Irish society in a myriad of ways to the welfare of Irish citizens.

I have no doubt that this initiative will inspire many others, and that it will have a lasting, positive impact on the lives of the people of Buncrana.

May I thank you again for you invitation to visit The Exchange. It is a pleasure to be here with you and I wish the very best in your future endeavours. I am confident that you are well equipped to face whatever challenges this future holds. As the saying goes 'Ní neart go cur le chéile' - There is no strength without unity!
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