Northern Ireland will enjoy stronger export growth than the rest of the United Kingdom due to its more "favourable" trading relationship with the European Union under Brexit arrangements, according to the Economic and Social Research Institiute.
The ESRI says the North will also achieve slightly stronger economic growth than the wider UK.
In a new report it says Northern Ireland is in an "exceptional position" following the implementation of the Winsor Framework agreement which leaves the North within the EU Single Market for goods while it is also part of the Common Travel Areas between the UK and Ireland.
It says growth as measured by Gross Domestic Product (GDP) is expected to average 1.2% over the medium term in the North.
The report says "the challenge of relatively low productivity in Northern Ireland needs to be addressed through sustained productivity enhancing investment to improve long-term economic prospects and living standards."
It adds the economies of the North and the Republic of Ireland can have a mutually beneficial impact on each from enhanced interaction.
The report says the Northern Ireland economy has underperformed for many years particularly relative to Ireland as it has lower exports and less multinational investment.
It says the Republic of Ireland has been growing much faster than the UK making it more important for the Northern Irish economy.
It says this suggests the need for a more "joined up" economic policy which could impact for an all-Ireland economy.