FOREIGN INTELLIGENCE SERVICES are now routinely attacking Irish-based technology, financial services, aviation leasing and cybersecurity companies.

That’s according to a new report by the Institute of International and European Affairs (IIEA) and Deloitte Ireland.

The report draws on interviews with senior officials and roundtables with leaders across critical sectors. 

Its location on the edge of Europe makes Ireland a “focal point on its risk map”, the report says.

Ireland hosts over 30% of EU data making it a prime target for hybrid activity.

Three quarters of Northern Hemisphere subsea cables run through or near Irish waters, linking global financial markets and cloud services.

Almost 90% of Irish companies have already suffered financial loss or operational disruption due to cyberattacks, with many now dealing with certain state-backed activity, not just cybercrime.

During Ukrianian President Volodymyr Zelenskyy’s recent visit to Ireland, several unidentified drones that were not for civilian use entered a no-fly zone. There was also an increase in suspicious shipping movements.

These incidents, the report says, highlight Ireland’s exposure and vulnerability, as the country prepares to take over the EU Presidency next summer.

There are concerns that events around the presidency, particularly a high level summit of leaders in Ireland next year, could be exposed due to a lack of Irish capability. 

In the past major international figures have attended the summit – upwards of 50 leaders could attend. Ukraine’s Volodymyr Zelenskyy attended this year’s event in Denmark.

US President George W Bush attended a similar summit held during Ireland’s presidency in 2004.

There’s been some suggestions the high-profile event could take place outside of Dublin with indications that Munster could play host to the summit. 

Alex White, IIEA Director General, said Ireland’s security is “no longer regarded as assured”.

“The ongoing aggression by Russia against Ukraine, coupled with the growing prevalence of disinformation, sabotage, and cyberattacks, means Ireland’s security can no longer be regarded as assured,” they said.

“With this comes the need for informed and constructive dialogue on Ireland’s evolving security environment and the policy choices before us.”

The EU this year set out a plan to supercharge the European defence industry, which Ireland intends to participate in. Part of that plan is to ensure that countries focus on purchasing from the arms industry of fellow member states.

In practice, it will be much faster now for Ireland to acquire specific equipment in areas prioritised by the Defence Forces, in some cases up to two years quicker than under the current procurement rules.

This is achieved through engaging in joint acquisitions including ammunition, artillery systems and infantry equipment. Other areas such as critical infrastructure and cyber protections, air defence systems as well as drone and anti-drone tech.

There is also a part of SAFE which will make a €150 billion capital pot available to member states which can be drawn down in low interest, long term loans.