In his New Year's message today the Taoiseach said Ireland was now on the verge of overtaking average European Union living standards 10 years ahead of forecasts.
Mr Ahern also said the standing of Ireland in the world was never higher as it was now.
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| Mr Bertie Ahern |
He said that for generations Irish people had been forced to accept a much lower living standard and quality of life than most of their neighbours in western Europe.
"Those days are gone. Since 1987 we have moved our country from being one of the poorest countries in western Europe to being amongst the better off.
"In the year which has just passed Ireland has caught up and begun to surpass average EU living standards. This has happened a decade earlier than predicted. We are living through an extraordinary period of transformation which has no precedent in Irish history."
The latest figures reflecting the continuing economic boom show the low level of national debt is now second only to Luxembourg's in Europe relative to its GDP.
"There is increasing hope, optimism and self-confidence amongst our people, replacing the doubts, despondency and despair of the past.
"The foundations for dynamic progress and continued economic prosperity are now firmly in place.
"In a society which had been held back by unemployment, emigration and poverty, we are offering the very real possibility of employment and a decent quality of life to every person."
Mr Ahern said rapid economic growth meant Ireland had outgrown its physical and social infrastructure. A key priority had to be to ensure the implementation of National Development Plan.
He said the Governement would do "all in its power" to uphold and sustain the Belfast Agreement, which ad "provided a foundation for democratic life and political development throughout the island".
Mr Ahern also said Ireland would concentrate on a reform agenda as it takes up its recently won seat on the United Nations Security Council.
Describing the council as one of the most influential bodies on earth, he said Ireland has never had a standing in the world as high as it does at the start of 2001.
"Our commitment to nuclear disarmament, international peacekeeping, development aid and human rights will be at the heart of our work," he said.
PA/Reuters