Inflation has continued to fall, with the year-on-year rate for June falling to 3.5 per cent, according to the Central Statistics Office (CSO).
The CSO said the Consumer Price Index (CPI) remained unchanged month-on-month to June from May, bringing the annual rate down from 3.7 per cent the previous month.
It was the fourth consecutive month of decline in the annual rate, the CSO said.
"The most significant monthly price changes were increases in communications [up 1.1 per cent], housing, water, electricity, gas and other fuels [up 0.7 per cent] and decreases in clothing and footwear [down 1.6 per cent] and transport [down 0.4 per cent]," the CSO said.
Mr Alan McQuaid, chief economist for Bloxham Stockbrokers, said the numbers were better than expected.
"The main thing is that we are on a steady downward trend," he said, adding that he expected inflation could fall below 3 per cent by year's end.
"The fall is mostly due to external factors rather than the government," he added, saying if the Government imposes new taxes it could push the numbers back up again. "Oil prices may not be as positive in the next few months," he added.
The European Union harmonised index of consumer prices (HICP), which is used for intra-EU comparison, was up 0.1 per cent on the month, compared with a 0.2 per cent fall for May.
The HICP was up 3.8 per cent over the previous 12 months, compared to a rise of 3.9 per cent for the 12 months to May.