Much of the past year — both pre and post general election — was characterised by the prospect of austerity cuts and how to stimulate economic recovery. The relative merits and drawbacks of precisely when and where and how much to cut have been debated at length.

Our local Assembly arrived at a draft budget for consultation, providing some degree of certainty and forward planning. Consumer and business confidence has remained subdued. Alongside the security and provision for the most vulnerable in society, the economy — its importance and its recovery — is at the centre of political debate, with an urgency to recognise the conditions for economic growth and to assertively address any barriers to progress.

Against that public sector backdrop and balancing act of maintained investment priorities, cost savings and revenue-raising considerations, a tentative and slowpaced recovery began to emerge. Many businesses were taking brave decisions and making difficult choices, with many choosing not to invest during such challenging market conditions.

Despite those uncertainties, many of Northern Ireland’s Top 100, and many more companies, have been able to forge ahead, whether bolstered by favourable exchange rates, export opportunity or entrepreneurial tenacity.

Consumer and business opinion of the banking sector has rarely been more clearly articulated — and in raised voices. The debate surrounding lending expectations and the role of the banks in economic recovery remained a focus for public opinion and political debate throughout the past year. Northern Bank remains committed to supporting new and existing customers and approved in excess of £1 billion in lending in 2010. Many major companies are demonstrating their confidence in Northern Bank by moving their core banking relationship to us — forward-thinking businesses that need a straightforward bank.

The availability of credit at a local level is only one dynamic at play in business and economic development and recovery. In Northern Bank’s most recent Quarterly Sectoral Forecasts report published in February 2011, the Bank’s Chief Economist Angela McGowan highlighted that the performance of Northern Ireland is heavily dependent upon growth in the global economy, with many local sectors reliant on emerging markets to provide growth opportunities. The prioritisation of tax incentives for investment, enterprise zones and small business support will also be important in the year ahead.

Of course not all businesses are seeking credit. Many are deleveraging and giving investment a relatively wide berth, leading to less demand for business lending. Increasingly, businesses are wanting to ensure that their cash is working every bit as hard as they are. Many are turning more attention to managing cash flow, managing their interest rate exposure or seeking expertise in foreign exchange — all businesscritical services and support that are provided to Northern Bank clients by our Specialist Business teams. Moves to ever more convenient ways of managing business finance, to maximising efficiency and to more rigorous cost control are increasingly important to businesses who are seeking to be as effective, secure and progressive as possible.

Northern Bank spent much of 2010 actively seeking good new business and we successfully attracted a range of new corporate banking clients, including some of Northern Ireland’s Top 100 companies. We can bring to our existing and new clients everything from transactional banking and card services to provision of working capital and acquisition finance, foreign currency and commodity trading for markets. With the capacity and expertise to look after not only the needs of the business but of the individuals in the business, we are able to support both the company and those instrumental to its success.

Northern Bank support is making a very real difference to some of Northern Ireland’s largest corporate companies and to smaller local businesses, and we tailor what we can offer to the needs of each business, whatever its scale, challenge and ambition.

In 2011, Northern Bank will introduce new initiatives and partnerships to specifically encourage entrepreneurship and support the very real potential for a thriving knowledge economy in Northern Ireland. These will be developed alongside our existing programme of regional business seminars and workshops, matching our local expertise with local business needs.

Our support to Almac Group, a global pharmaceutical services provider based in Craigavon, brought innovative technology and a broad range of services including multi currency cashmanagement products. Chief Executive of Almac Group, Alan Armstrong, described Northern Bank’s support as “a contributing factor in our success, ensuring that as an indigenous business we continue to grow and develop”. He added that “over the last ten years our relationship with Northern Bank has extended beyond financial support; we are engaging with a bank that can bring innovative technology solutions to improve how we do business in Northern Ireland and throughout the world.”

Those local relationships are vital to sustainable recovery and to how we do business at Northern Bank — staying close to the business and its people — and aiming to provide that solid foundation for many more businesses in Northern Ireland.