The number of new jobs created with the assistance of Údarás na Gaeltachta last year exceeded jobs lost in the Gaeltacht by 151.
The number of new jobs created was 993 and the number of jobs lost was 842.
The total number of jobs at the year end was 7,658.
In a review of 2005 the Údarás chief executive Pádraig Ó hAoláin said the strategic emphasis on the services sector had borne fruit. The sector provided a net gain of 181 jobs, the highest net gain of any sector.
The engineering sector saw an extra 85 jobs during the year and manufacturing an extra 35, Mr Ó hAoláin said.
"The main growth area will continue to be the services sector. However, niche manufacturing will remain a very important source of Gaeltacht employment into the future."
He said Údarás would continue to support manufacturing companies investing in research and development and market development.
The food sector suffered a net job loss of 101, with most of the losses occurring in the fish-processing sector. "The reduction in fish landings and the weakened position of the salmon farming industry continue to impact negatively on fish processing," Mr Ó hAoláin said.
He said the medium-term outlook for landings was not positive and there could be further job losses.
However, there were grounds for optimism that the salmon farming sector could recover over the coming three to five years.
He said the area needed development of its road and telecommunications infrastructure.
In 2006 and 2007 there would be the rolling out of enterprise and business incubation spaces throughout the Gaeltacht, he added.
On the Irish language Mr Ó hAoláin said the most important events during 2005 were the institution of the Language Commissioner's Office, the achievement of European Union working language status for Irish, and the establishment of a new youth structure for the Gaeltacht.
During 2005 Údarás sold off assets worth €4.5 million. It hopes to disposal of asset worth €10 million this year. Total exchequer funding granted to Údarás for 2006 is €36 million.
