EUROPEAN Commissioner Olli Rehn says Ireland may not need a safety net after exiting the bailout.
The Government is weighing up whether it will need a line of emergency funding in the event it cannot borrow from the markets again.
In a positive sign for the country, Mr Rehn has suggested Ireland and Spain may succeed in exiting the bailout smoothly without any special arrangements.
"We are currently holding discussions with both countries as well as within the Eurogroup, to see what is the best way to successfully exit the programme," he said.
And the Government will welcome Mr Rehn's comments as a sign of confidence in the recovery.
The three-year, €67.5bn bailout from the EU and IMF is due to end on December 7.
Mr Rehn said reforms both countries pledged in exchange for the financial support were on track and the economies of both were growing stronger.
"The principle that it is better to be safe than sorry prevails and we will look into what are the best ways to ensure a successful exit from the programmes," he said.
"Thanks to the economic turnaround supported by the programmes in both countries they have a very good chance of exiting the programme successfully and returning to durable market funding," Mr Rehn added.