Failte Ireland says the number of people employed in the tourism sector rose to 185,000 last year.

This represents the first increase since the beginning of the downturn.

It is also an increase of 5,000 on the 2011 figure.

Overseas revenue also increased for the first time since 2008 by €100 million.

Upbeat for 2013

The group has issued an upbeat prediction for the year ahead.

It expects visitor numbers to increase because of improved confidence, an increase in competitiveness and an anticipated bounce from 'The Gathering'.

The initiative is expected to bring 325,000 additional visitors to our shores this year and over 2,500 events have been organised around the country so far.

Speaking at the launch of its programme for 2013, Chairman of Failte Ireland Redmond O'Donoghue said we are entering a "new phase of recovery".

He said businesses in the tourism sector are moving from "mere survival" to growth.

He emphasised that while the domestic market is important, the best prospects for the year ahead are with US and European visitors.

Mr. O'Donoghue has also said he welcomes debate on 'The Gathering' programme.