The Central Bank is predicting the economy will shrink by 0.4 per cent this year.
The figure in its latest quarterly bulletin, is in contrast with the 9 percentage point fall that was forecast in July.
It expects domestic demand to drop by just over 7 per cent, but says a strong exports market will reduce its impact.
However the Central Bank is warning some sectors will be worst affected than others.
Outpouring Of Love And Tributes to Musician Glen Hansard
'A troubadour, a gracious man and a giant in the fight against homelessness' ... some of the tributes being paid to the musician who died in a crash in Dublin.
Wicklow Beaches To Host Kids Sea Safari Workshops In August
* Limited Spaces Remain *
Wildfire Battle Continues in France & Spain with Thousands of Holidays Cut Short
The most recent fires in the Wicklow Mountains are also the most significant of this summer, lasting over 10 days.
Wicklow Businesses Are Staying Competitive with Skills Training
Almost all businesses taking part in training were small and medium-sized enterprises.
Joy Unconfined As Wicklow Town's Shrine To Mayo Bears Fruit At Long Last!
May-O, May-O Maaaaayyyyyyyyyooooooo ....... ''Sam Maguire is coming home to Mayo'', and for one Rathdrum based homeowner, it's manna from heaven!
8:00pm - 10:00pm
Love Songs on the Coast
Sunny intervals
High: 19°C | Low: 11°C
Sunny intervals
High: 19°C | Low: 11°C
Sunny intervals
High: 20°C | Low: 9°C
Sunny intervals
High: 20°C | Low: 8°C
Sunny intervals
High: 21°C | Low: 8°C