Public Expenditure Minister Brendan Holwon has once again said the next Budget won't have as much austerity as first expected.
Speaking today, Minister Howlin said the Government won't need €2bn of tax hikes and spending cuts to meet its EU targets.
However, the minister said it is still too early to predict just how much pain will be needed.
And he says although the outlook is good, he doesn't have psychic powers.
"Obviously I'm not a fortune teller in terms of what might happen in the next number of months," he said.
"But I am confident now that we will not require budgetary adjustments anything like the order that were specified in even the most recent medium-term economic forecast."