2013 will see the Irish economy turning a corner in its economic recovery.
That is according to business group IBEC which has published its economic forecast.
According to the report Irish GDP is set to grow even more this year.
While unemployment figures are set to level out and private investment will increase by 10%.
The report estimates that Irish GDP expanded by 1.2% last year, which makes Ireland the second-fastest growing Eurozone economy in 2012 putting us only behind Slovakia.
IBEC is forecasting that GDP will grow at 1.8% this year and for the recovery to gain further momentum in 2014.
It also expects the Consumer Price Index to increase by an average of 1.5% this year and estimates inflation of less than 2% in 2014.
Transition from domestic to exports
It says that employment in the private sector will see its last year of a decrease with a return to marginal growth of 0.4% this year.
More generally it believes unemployment will stabilise, but will remain high "for some time".
The body is also reporting that investment in machinery and equipment increased by 8% last year - across both traditional and modern sectors.
It says this was the first time since 2007 that the investment sector was not a drag on economic growth and that investment should increase again by about 10% for 2013.
IBEC Chief Economist is Fergal O'Brien.
"Exports had another record year and a number of indicators suggest the domestic economy has stabilised and is poised to recover" he said.
"Although many Irish households continue to grapple with debt and unemployment, there is growing evidence that 2013 could be a turning point for the domestic economy. We are edging towards a deal on Irish bank debt, which could provide a much needed boost in consumer sentiment".
"Exports continue to perform strongly, despite difficult trading conditions. Importantly, we're seeing more businesses successfully making the transition from domestic sales to exports, and progress continues in developing new markets" he added.
