Insolvency figures have fallen sharply in the first nine months of the year, providing further evidence of the improving economic picture.

The total number of liquidations, receiverships and examinerships dropped to 278 in the first three quarters of 2004, compared to 346 in the same period last year, according to figures compiled by Farrell Grant Sparks.

The figures show the largest number of cases - 79 - were in the construction/engineering sector, followed by information technology and computers (39) and bars, restaurants and food companies (36). The total for the retail sector was 20, followed by printing (18), transport (16) and clothing (14).

The regional breakdown reflected the large concentration of business activity in Dublin, which accounted for 150 of the cases, with the neighbouring counties of Kildare (15) and Wicklow (14) also high on the list.

In terms of the other cities, there were 23 cases in Cork, 13 in Limerick and six in Galway, with eight in the Clare area which would include Shannon.

The figures indicated a similar trend to data published by the Department of Enterprise, Trade and Employment last Friday showing a 10 per cent drop in notified redundancies so far in 2004.