A group representing businesses says economic growth is expected to hit 5.7% this year - the strongest rate in Europe.
According to latest quarterly economic outlook from IBEC, Irish consumers are more up beat - while lower oil prices are adding momentum to consumer recovery.
It is also predicting that unemployment figures will fall to single digits next year.
The group says that every US$10 fall in the price of a barrel of oil means an additional €100m spending power for Irish consumers.
It says while this will support more spending in the domestic economy, "weakening oil prices are clearly a symptom of emerging market instability."
IBEC is forecasting continuing strong growth in 2015 - with GDP rising by 4.8%, and GNP to grow by 5.1% this year and 4.2% in 2015.
It adds that the weak euro, and a gradual recovery in global demand, will support Irish exports.
Head of policy at IBEC, Fergal O'Brien, told Newstalk Breakfast that some of these factors should offset water charges next year.