850,000 overseas visitors came through the Shannon Region in 2011, an increase of 11.7%.
This makes Shannon one of the best performing region in tourism terms in the country, according to the annual report of Shannon Development.
The agency attributes the increased visitors to a number of specific marketing initiatives it undertook in the US, the UK and Europe with airline and airtour companies.
Shannon Development said that €70m was generated from sport and business tourism as a result of sports events and festivals during Limerick's designation as European City of Sport last year.
A number of new tourism projects are underway to further enhance the tourism products in the region with the re-development of King John's Castle and medieval quarter, and the development of a visitors' zone and walkways between Sarsfield and Thomond Bridges in Limerick City.
The company also plans to develop a heritage and Diaspora centre at its 120 acre site at Bunratty Castle.
The tourism functions of Shannon Development are being transferred to Failte Ireland as part of a re-organisation of state agencies which accompany the changes in the status of Shannon Airport. The Government announced plans in May to separate Shannon Airport from the DAA and give it its own independence.
A defined role for the agency is currently being examined by a steering group made up by top civil servants appointed by the Government which has the task of restructuring the various agencies.
Tourism Minister Leo Varadkar has said he expects the steering group to report to him in the autumn.
