The Vatican's nuncio to Ireland is to be transferred to the Czech Republic.
The Pope recalled Archbishop Giuseppe Leanza following criticism of the Catholic Church by the Taoiseach Enda Kenny.
The remarks followed the publication of the Cloyne report
into the church's mishandling of cases of clerical sex abuse in County
Cork.
In a blistering attack, Mr Kenny accused the church of putting its reputation ahead of child rape victims.
After the recall, vice-director of the Vatican press office
Father Ciro Benedettini said the nuncio's recall "should be interpreted
as an expression of the desire of the Holy See for serious and effective
collaboration with the (Irish) government".
He added that it "denotes the seriousness of the situation and the Holy See's desire to face it objectively and determinately.
"Nor does it exclude some degree of surprise and disappointment at certain excessive reactions."
Irish Deputy Prime Minister Eamon Gilmore said the decision to recall the nuncio was a matter for the Holy See.
"The government is awaiting the response of the Holy See to
the recent report into the Catholic Diocese of Cloyne and it is to be
expected that the Vatican would wish to consult in depth with the Nuncio
on its response."