Portugal Economy

Is Portugal a wealthy country?

Portugal's economic history is deeply intertwined with its colonial past, maritime prowess, and periods of economic hardship. During the Age of Discovery, during the 15th and 16th centuries, Portugal established a vast overseas empire, enriching the nation through trade in spices, gold, and other commodities. However, the decline of its empire and the devastating earthquake of 1755 ushered in a period of economic stagnation.

Modern Economic Evolution:

In the 20th century, Portugal underwent significant economic transformations. Joining the European Union in 1986 paved the way for economic integration and development. The country embraced structural reforms, privatization, and investments in infrastructure, leading to robust economic growth during the 1990s and early 2000s. However, Portugal faced challenges such as high public debt, low productivity, and unemployment, exacerbated by the global financial crisis 2008.

Post-Crisis Recovery:

In response to the crisis, Portugal implemented austerity measures and pursued fiscal consolidation, albeit with social costs. The country underwent structural reforms in labor markets, pensions, and the financial sector, supported by external financial assistance from the EU and IMF. Despite initial hardships, Portugal's economy rebounded, with improved competitiveness, export growth, and a gradual decline in unemployment.

Current Economic Landscape:

According to the latest data, Portugal's economy continues to show resilience amidst the challenges posed by the COVID-19 pandemic. The government's swift response, including fiscal stimulus measures and support for businesses, helped cushion the crisis's impact. However, Portugal faces persistent structural issues, including an aging population, low productivity growth, and regional disparities.

Key Economic Indicators:

GDP Growth: Portugal's GDP growth has shown recovery, albeit at a moderate pace. In recent years, growth rates have hovered around 2%, driven by domestic consumption, exports, and tourism.

Unemployment: While declining, unemployment rates remain above the EU average. Efforts to address youth unemployment and skills mismatches are ongoing.

Public Debt: Portugal's public debt, though high, has gradually decreased from its peak. Continued fiscal discipline and debt sustainability are priorities for the government.

External Trade: Portugal maintains a positive trade balance, with exports accounting for a significant portion of GDP. Key export sectors include automotive, textiles, and agro-food products.

Portugal Economy Data

What is the GDP of Portugal?

Currency Name and Code Euro (EUR)
GDP - Gross Domestic Product (PPP) $331,640,000,000 (USD)
GDP - official exchange rate $197,500,000,000 (USD)
GDP - real growth rate 1.6%
GDP Per Capita $27,800.00 (USD)
GDP by Sector- agriculture 2.3%
GDP by Sector- Industry 21.6%
GDP by Sector- services 76.1%
GDP - composition, by end use household consumption: 66.2%

government consumption: 18.5%

investment in fixed capital: 15.3%

investment in inventories: 0.3%

exports of goods and services: 41.4%

imports of goods and services: -41.7%
Population Below Poverty Line 18%
Inflation Rate 1.1%
Labor Force 5,570,000
Labor Force By Occupation- agriculture 11.7%
Labor Force By Occupation- industry 28.5%
Labor Force By Occupation- services 59.8%
Unemployment Rate 10.7%
Fiscal Year calendar year
Annual Budget $93,610,000,000 (USD)
Budget Surplus or Deficit - percent of GDP -5.1%
Public Debt (% of GDP) 69.4%
Taxes and other revenues - percent of GDP 43.5%
Major Industries textiles and footwear; wood pulp, paper, and cork; metalworking; oil refining; chemicals; fish canning; wine; tourism
Industrial Growth Rate 0.9%
Agriculture Products grain, potatoes, olives, grapes; sheep, cattle, goats, poultry, beef, dairy products
Exchange Rate per US Dollar euro (EUR)
Child Labor - % of children ages 5-14 3%
Child Labor - # of children ages 5-14 36,569
Child Labor - note note: data represents children ages 6-14
Commercial Bank Prime Lending Rate 6%

Labor Force by Occupation- As reported by Portugal

All Countries
Afghanistan Akrotiri Albania Algeria American Samoa Andorra Angola Anguilla Antarctica Antigua and Barbuda Argentina Armenia Aruba Australia Austria Azerbaijan Bahamas Bahrain Bangladesh Barbados Belarus Belgium Belize Benin Bermuda Bhutan Bolivia Bosnia and Herzegovina Botswana Brazil British Indian Ocean Territory British Virgin Islands Brunei Bulgaria Burkina Faso Burma Burundi Cabo Verde Cambodia Cameroon Canada Cayman Islands Central African Republic Chad Chile China Christmas Island Clipperton Island Cocos (Keeling) Islands Colombia Comoros Congo, Democratic Republic of the Congo, Republic of the Cook Islands Coral Sea Islands Costa Rica Cote d’Ivoire Croatia Cuba Curacao Cyprus Czech Republic Denmark Dhekelia Djibouti Dominica Dominican Republic Ecuador Egypt El Salvador Equatorial Guinea Eritrea Estonia Eswatini Ethiopia Falkland Islands Faroe Islands Fiji Finland France French Guiana French Polynesia Gabon Gambia, The Gaza Strip Georgia Germany Ghana Gibraltar Greece Greenland Grenada Guadeloupe Guam Guatemala Guernsey Guinea Guinea-Bissau Guyana Haiti Holy See Honduras Hong Kong Hungary Iceland India Indonesia Iran Iraq Ireland Isle of Man Israel Italy Jamaica Jan Mayen Japan Jersey Jordan Kazakhstan Kenya Kiribati Korea, North Korea, South Kosovo Kuwait Kyrgyzstan Laos Latvia Lebanon Lesotho Liberia Libya Liechtenstein Lithuania Luxembourg Macau Madagascar Malawi Malaysia Maldives Mali Malta Marshall Islands Martinique Mauritania Mauritius Mayotte Mexico Micronesia Moldova Monaco Mongolia Montenegro Montserrat Morocco Mozambique Namibia Nauru Nepal Netherlands New Caledonia New Zealand Nicaragua Niger Nigeria Niue Norfolk Island North Macedonia Northern Mariana Islands Norway Oman Pakistan Palau Panama Papua New Guinea Paraguay Peru Philippines Pitcairn Islands Poland Portugal Puerto Rico Qatar Reunion Romania Russia Rwanda Saint Helena, Ascension, and Tristan da Cunha Saint Kitts and Nevis Saint Lucia Saint Pierre and Miquelon Saint Vincent and the Grenadines Samoa San Marino Sao Tome and Principe Saudi Arabia Senegal Serbia Seychelles Sierra Leone Singapore Slovakia Slovenia Solomon Islands Somalia South Africa Spain Sri Lanka Sudan Sudan, South Suriname Svalbard Sweden Switzerland Syria Taiwan Tajikistan Tanzania Thailand Timor-Leste Togo Tokelau Tonga Trinidad and Tobago Tunisia Turkey Turkmenistan Turks and Caicos Islands Tuvalu Uganda Ukraine United Arab Emirates United Kingdom United States (US) Uruguay Uzbekistan Vanuatu Venezuela Vietnam Virgin Islands Wake Island Wallis and Futuna West Bank Western Sahara World Yemen Zambia Zimbabwe