Financial intermediation, real estate, and business activities contributed 25.9% to the gross value added (GVA) in 2024, followed by wholesale, retail, and hotel activities (19.2%) and mining, manufacturing, and utilities activities (17.0%). In nominal terms, the three sectors are expected to grow by 4.8%, 5.0%, and 4.4%, respectively, in 2025.
Lisbon, Porto, and Algarve together accounted for 57.1% of the country’s total GDP in 2024 and 49.2% of the total population in 2024, according to the analyst’s Cities database.
Lisbon, Porto, and Algarve together accounted for 57.1% of the country’s total GDP in 2024 and 49.2% of the total population in 2024, according to the analyst’s Cities database.
Key Highlights
On July 17, 2024, the EU allocated EUR813 million ($883.7 million) under the Connecting Europe Facility to support the early development of Portugal’s Porto-Lisboa high-speed rail line. This project, taken up as a public-private partnership, aligns with the EU’s climate objectives and modernization of the TEN-T transport network.Scope
- Macroeconomic Country Outlook Reports evaluate a country's investment potential through its political, economic, social, technological, legal, and environmental (PESTLE) framework.
- This comprehensive analysis offers a holistic view of the economy, serving as a strategic tool to understand market dynamics, business potential, and operational direction. Each PESTLE factor is examined based on four parameters: current strengths, current challenges, future prospects, and future risks.
- These insights support strategic planning by highlighting opportunities and risks within the economy, helping businesses and investors make informed decisions.
- The report aims to provide a detailed understanding of the country's macroeconomic environment to facilitate effective decision-making and strategy development.
Reasons to Buy
- Macroeconomic Outlook Report identifies the potentials of the country as an investment destination by analyzing the political, economic, social, technological, legal and environmental (PESTLE) structure.
- PESTLE Insights provides 360 degree view of the economy which can be used as a strategic tool to understand the market dynamics, business potentials and direction of operations
- Along with providing the country’s snapshot, the report captures the risk factors pertaining to the macroeconomic risks, political environment, legal environment, demographic and social structure effectiveness, technology & infrastructure and natural and geographic aspects that might impact business.
- This report also highlights key clusters/cities which contribute significantly to the country GDP and population along with major companies’ presence in these areas.
Table of Contents
- Did You Know?
- Country Highlights
- Key Economic Updates
- Country Snapshot
- Political Landscape
- Economic Landscape
- Social Landscape
- Technological Landscape
- Legal Landscape
- Environmental Landscape
- Outlook
- Exhibit 1: Portugal’s Performance in Terms of its Country Risk Analysis in Comparison to Europe and World Averages
- Exhibit 2: Performance Overview (Score: 0-100)
- Exhibit 3: Broad Categories and Weights behind the Index
- Exhibit 4: PSI 20 Index, (January 2024 - January 2025)
- Exhibit 5: Key Sectors’ Contribution to the Economy (2020-27f)
- Exhibit 6: FDI Inflows, FDI Outflows, FDI Inward Stock and FDI Outward Stock (2019-23)
- Exhibit 7: Greenfield FDI Projects and Net Cross-border M&A Deals (2019-23)
- Exhibit 8: Key Infrastructure Indicators
- Exhibit 9: Real GDP and Household Consumption Growth Rate (2020-27f)
- Exhibit 10: Real GDP Growth Rate Comparison (2024e)
- Exhibit 11: Volume of Exports and Imports Growth (2020-27f)
- Exhibit 12: Current Account Balance (2020-27f)
- Exhibit 13: Top Three Commodity Exports, % of Total Exports (2019-23)
- Exhibit 14: Vehicles and Parts Thereof Exports, % of World Total (2023)
- Exhibit 15: Interest Rates (February 2020 - February 2025)
- Exhibit 16: Exchange Rate and Inflation (2020-27f)
- Exhibit 17: General Government Deficit (2020-27f)
- Exhibit 18: General Government Debt (2020-27f)
- Exhibit 19: Unemployment Rate (2020-27f)
- Exhibit 20: Average Annual Wages (2020-27f)
- Exhibit 21: Labor Cost Index (2020-27f)
- Exhibit 22: Rural/Urban Share of Total Population (2005, 2015, 2020, 2025f)
- Exhibit 23: Age-group Share of Total Population (2005, 2015, 2020, 2025f)
- Exhibit 24: Gender Split (2005, 2015, 2020, 2025f)
- Exhibit 25: Internet Users as a Percentage of Total Population, Mobile Penetration Rate and Broadband Penetration Rate (2024e)
- Exhibit 26: Number of Patents Granted per Million Population (2023)
- Exhibit 27: High-technology Exports, % of Manufactured Exports (2023)
- Exhibit 28: Rule of Law (Rankings) 2024
- Exhibit 29: Corruption Perceptions Index (Rankings) (2023)
- Exhibit 30: Renewable Energy Capacity (2020-24e)
- Exhibit 31: CO2e Emissions from Energy (2019-23)
Companies Mentioned (Partial List)
A selection of companies mentioned in this report includes, but is not limited to:
- Altri
- Martifer Group
- MRG
