The EU Commission has forecast that the Irish economy will grow by 3% next year.
This is one of the highest levels of growth forecast in this morning's figures from the Commission.
Read the full forecast
At 3% predicted growth, Ireland is alongside other countries that experienced massive falls in recent years, such as Estonia, Latvia and Lithuania.
However, the Commission says the economy will fall by 0.9% this year. This again is an upward revision from a previous forecast for a 1.4% fall.
Its figures say the economy in Ireland declined by 7.1% last year; it predicted it would fall by 7.5%.
The eurozone economy as a whole is set to grow by 0.9% this year, faster than previously thought, the EU Commission said today, but debt-laden Greece's economy is set to contract by 3%.
'The improved outlook for economic growth this year is good news for Europe,' said EU Commissioner for Economic and Monetary Affairs, Olli Rehn.
'We must now ensure that growth will not be derailed by risks related to financial stability. Sustainable growth calls for determined fiscal consolidation efforts and reforms that enhance productivity and employment,' he said.
The 0.9% economic growth forecast for the eurozone contrasts sharply with the unprecedented 4.1% contraction in recession-hit Europe last year.
In February, when the Commission released its previous forecasts, the growth this year was put at 0.7%.
For the 27-nation EU as a whole the economic growth forecast for 2010 was put at 1%.
For 2011, Brussels still sees the Greek economy in recession, though with the economic squeeze limited to 0.5%. In November, growth of 0.7% was predicted for next year.
For Spain and Portugal, the two eurozone countries considered most at risk after Greek, the commission revised its growth predictions upwards.
For Spain it sees a rise in economic activity of 0.4% this year, while the rate for Portugal was put at 0.5%.
