Local authorities expect the canal to be a catalyst for regeneration in the economically depressed border region, as was the Shannon-Erne waterway reopened in 1994. Brian Cassells, president of the Inland Waterways Association of Ireland, welcomed the news in a statement issued on November 8, thanking the Taioseach (prime minister) for his commitment. IWAI believes that re-instating this "missing link" in Ireland's inland waterways network will bring major benefits to the communities living in the canal corridor and will be a major boost to the development of tourism in the region. Mr. Cassells also acknowledged the support and commitment shown by Eamon O'Cuiv Minister for Arts, Heritage Gaeltacht and the Islands for several years.

The Irish prime minister Bertie Ahern announced on November 4, 2006 that his government plans to restore and re-open the Ulster Canal. This is a significant new North-South project, in the wake of the 1998 "Good Friday" agreement. The €200 million project, which also includes several cross-border roads, will be implemented jointly with the UK government departments responsible for infrastructure investments in Northern Ireland. The 74km canal links Lough Erne and Lough Neagh (see map).

 
Ulster Canal