Employers group IBEC says the Government can hit its budgetary targets with adjustments of just €200m.
That compares with the €2bn adjustment favoured by the Government.
In its pre-budget submission published this morning, IBEC says cuts to income and consumer taxes, and increased investment will kick-start Ireland's recovery.
Chief Economist at IBEC Fergal O'Brien thinks the latest Exchequer figures have created room for manoeuvre.
He said: "We still have double digit unemployment rate. I think we cannot afford to waste another year in not helping to do more to get those people back to work.
"By having a growth-enhancing budget you grow the overall size of our tax revenue, grow the overall size of the economy, put people back to work quicker and that's how you get the deficit down and that's how you outgrow your debt."