The New Ireland Fund, Inc. April, 2005 Presented by Deirdre Kennedy Senior Equity Manager Bank of Ireland Asset Management Capital Link Forum

The Irish growth story continues… Source: Davy/Irish Central Bank One of Europe’s fastest growing economies

...as Irish fundamentals drive premium growth n Supportive demographics n Flexible labor markets n Low corporate tax regime n Pro-business environment attractive to multinationals n Strong government finances One of Europe’s major success stories

Ireland has a very young workforce... Source: NCB ‘000 Population by age cohort 2002

…with the youngest median age in the EU Source: Eurostat/Goodbody

…and the workforce is quite different from rest of Europe Source: NCB IRL (mn)EU (mn) IRL/EU active population

The Irish economy has become more competitive Source: Central Bank of Ireland/NCB Improving Irish relative unit wage costs

Adds up to high employment growth... % Source: NCB The key to economic performance

…and supported by healthy government finances % Source: NCB General government debt as % of GDP

The economy hit a soft patch for two years... Ireland Real GNP Source: Davy

...but recovery underway since the spring of 2003 Ireland Real GNP Source: Davy

Economic success drives outperformance Source: Davy ISEQ relative to Eurofirst 300

Looking forward - risks to the growth story? n Rising Euro exchange rate  Euro has already risen about 60% from its lows n An adjustment to the housing market  Support from demographics and low interest rate environment n A reduction in the flow of direct investment  The importance of grants versus a low corporate tax rate

But the positives remain n Favorable fiscal environment  Tax reductions and decent expenditure increases in the recent budget n Demographic, labor market and corporate tax attractions  age group growing at 2% to 3% a year for the next decade  High proportion of college education, English speaking, low level of unionization  12.5% tax rate committed in legislation n GNP growth forecast at 4.75% in 2005 n Premium growth relative to the rest of Europe

New Ireland Fund – investment style n Concentrated portfolio with 22 stocks held n Quality bias with a value discipline n Balance  Stocks directly exposed to the Irish economy  Irish companies with global growth strategies

Ireland’s leading bank – great play on a strong economy Source: Davy Stockbrokers Allied Irish Banks Banking 16.9% of Fund 5 Yr CAGR 10 Yr CAGR EPS Growth % Dividend Growth% Total Shareholder return% Valuation P/E 05 P/E 06 Yield Allied Irish Banks International Peer Group

Successful execution of a global growth strategy CRH Building Materials 11.6% of Fund 5 Yr CAGR 10 Yr CAGR Sales Growth % EPS Growth % Dividend Growth % Total Shareholder Return % Valuation P/E 05 P/E 06 Yield CRH European Peer Group Source: Davy Stockbrokers

The winner in the sector Ryanair Airline 4.4% of Fund 5 Yr CAGR 10 Yr CAGR Valuation P/E 05 P/E 06 Yield Source: Davy Stockbrokers Ryanair International Peer Group Sales Growth %29.4 N/A EPS Growth % 40.7N/A Total Shareholder Return %14.7N/A

New Ireland Fund - top 10 stocks Source: BIAM, Davy

Demonstrating Shareholder Focus $ Number 1 performer in its Western European Lipper peer group over 1, 3 and 5 years

New Ireland Fund NAV Performance Source: PFPC, Total Return $ The Fund repurchased 18% of shares outstanding over the past 5 years

Bank of Ireland Asset Management Limited is authorised by the Irish Financial Services Regulatory Authority (IFSRA) under the Investment Intermediaries Act, Past performance is not necessarily a guide to future performance. Mention of individual stocks should not be taken as a recommendation to trade in these stocks.