The Government expects EU officials to agree to its plan to split the State into rich and poor regions.
As the Cabinet yesterday agreed details on two new regional authorities to oversee the spending of EU structural funds, senior Government sources said there was "no indication" from Eurostat - the EU body which will decide on the Irish application - that it would not accept the plan put to it in November.
A decision is expected by the end of this month.
Controversially, Co Kerry and Co Clare were included in the region seeking Objective 1 status. However, Government sources insist there is no inkling that EU officials will object to their addition to a region encompassing the west, midlands and Border counties.
Following yesterday's Cabinet meeting, a Government spokesman confirmed that the two new regional structures - one for the Objective 1 region and another for the Objective 1 in transition region - would be established by
ministerial order, to be put before the Houses of the Oireachtas.
Contrary to what the Taoiseach, Mr Ahern, indicated to the Dail earlier, it will not be done by amending existing legislation.
One of the new group regional authorities is to be known as the Border, Midlands and Western Group Regional Authority - including Kerry and Clare. The other body, covering Dublin, the mid-east, the mid-west, the south-east and the Cork region, will be called the Southern and Eastern Group Regional Authority.
The Government claims the new structures will "significantly increase the influence of regional authorities in the development of the National Development Plan (NDP)".
The function of each authority involves promoting the provision of public services in its areas. They will also be obliged to advise the Government on the regional dimension of the NDP.
The new bodies will also be responsible for monitoring the impact of all EU programmes of assistance under the Community Support Framework in their areas.
The Kerry South TD Mr Jackie Healy-Rae said last night he had received no hint to suggest that Co Kerry might be dropped from the proposal to include it in the Objective 1 area.
"I don't expect the Government to sell us down the drain. They will not shed us. I do not see any reason why they should. There is every reason why we should stay where we are. The Minister, John O'Donoghue, is at the table and, naturally, I feel sure he will keep his eyes on it to ensure nobody will touch Kerry."