The country's services companies saw their fastest rate of activity growth in 19 months in September.
The latest NCB Ireland Services Purchasing Managers index rose to 53.9 in September from 51.7 in August as confidence, new business and employment levels all rose during the month.
The latest PMI data shows that incoming new work increased over the month due to new contract wins and improved market conditions.
New business increased in both the domestic and international markets.
The volume of new export business increased for the 14th month in a row in September and the latest increase was the second strongest since March, the Services PMI showed.
Employment in the services sector - which covers business and financial services, transport and leisure and technology and telecoms - also grew.
NCB said that although the increase was only modest, it was the first sign of job creation since March.
However, firms saw a rise in input costs last month due to higher fuel and utility costs. Unfavourable currency exchange rates also hit companies.
The PMI also showed that average selling prices fell further last month, with companies citing stronger competitive pressures and attempts to boost sales. However, the latest fall in charges was the weakest since August 2008.
Companies surveyed by NCB said they expect activity to increase over the coming year, with almost half expressing optimism towards the short term business outlook. Companies expect planned business expansions and new product launches to support the rise in activity over the coming months.
''It is encouraging to see panellists report an improvement in new business in both domestic and international markets, and this is helping to feed into an improvement in services employment, which grew for the first time in six months,'' said NCB economist Philip O'Sullivan.
'With expectations at a six month high, buoyed by planned business expansions and new product launches, we would expect to see the positive momentum in business activity sustained over the coming months, which is a commendable out-turn given the boarder economic backdrop,'' the economist added.