THE THREATS POSED to Ireland by a Scotland with more control over its own fiscal policies should instead be seen as new ‘opportunities’, the Minister for Foreign Affairs and Trade has said.

However, the Taoiseach noted that Ireland will be watching the situation closely.

“The people of Scotland have spoken,” Enda Kenny said in a statement this morning.

We respect their democratic decision that Scotland should remain as part of the United Kingdom.

He added that said that Ireland is “committed to deepening and strengthening the already close relationships across these islands”.

“Attention will now turn to the changes likely to take place following the referendum, particularly in terms of devolution of powers.

This process will be closely followed in Ireland.

Speaking to RTÉ’s Morning Ireland, Charlie Flanagan said that Ireland will benefit from increased trade with Scotland following the outcome of this the referendum on Scottish independence.

He described Ireland’s relationship with the United Kingdom as one of the best in world – “our nearest neighbour is our greatest treading partner” – and said that relations between Dublin and London “have never been better”.

‘Challenge’

Flanagan stressed that Ireland is ‘up to the challenge’ of competing with a more devolved United Kingdom in the field of attracting foreign direction investment:

I think these threats can be seen also an an opportunity.

He noted that it will also have implications for Northern Ireland.

Flanagan added that he felt it was right to remain neutral in the lead-up to the referendum, as he didn’t feel it was appropriate for another jurisdiction to “interfere or influence”.

Both Kenny and Flanagan referenced the Good Friday Agreement’s influence on the relationship between Ireland and the United Kingdom, with the Taoiseach stressing that Ireland’s commitment “today stands more firm than ever”.

Read: Scotland votes No and rejects independence >