Foreign direct investment (FDI) in property purchases and shareholdings in companies increased almost eight times in the first quarter of this year compared to the same period in 2020, according to calculations by Dinheiro Vivo based on data from Banco de Portugal. In other words, in this first quarter alone, overseas investors have injected €1.7 billion into the Portuguese economy. This is the strongest annual start-up since 2017, the year in which Portugal grew by 3.5% in real terms (the best mark since 2000).
This strong impulse of FDI through shares and other corporate holdings is closely linked to the phenomenon of real estate investment. According to several analysts and Banco de Portugal itself, the beginning of this year prolongs the good year of 2020 in this sector. In fact, last year, despite the pandemic crisis, foreign investors put €5.9 billion into the economy, a figure that is in line with the €6 billion recorded in 2019. €647 million were injected into the country only through the Portugal Golden Visa programme.
The final FDI figure is just not bigger because investors started selling debt - it may be through operations to sell non-performing assets and non-performing loan portfolios, the so-called nonperforming loans. These sales are deducted from the total FDI value. In the first quarter, these sales amounted to a significant amount of €910 million. In 2020 as a whole, foreign investors also emptied their positions, selling debt worth almost €3 billion!
According to Banco de Portugal, last year, the external financing of the Portuguese private sector continued to be channelled through the net flow of foreign direct investment, equivalent to 1.8% of GDP (domestic product gross). Also, the real estate investment component remained relevant, corresponding to 26% of the inflow of funds through foreign direct investment.
Banco de Portugal explains that investment in construction increased 4.7% (7.2% in 2019), and in addition to the containment measures not imposing the suspension of construction works, the dynamism of construction is explained by the flow of new projects, particularly in residential real estate and major infrastructure constructions.
What’s more, Banco BPI studies also noted that “in the storm caused by the pandemic in 2020, the residential market faltered, but did not break”. This only means that investing in real estate is one of the safest investment options one can make. Learn more about the advantages here.
In addition to the fact economic activity is coming back to normality, it is expected that the funds that Portugal will receive through the Recovery and Resilience Plan and the identification by the European Union of the renovation of buildings as one of the priorities for the ecological transition will boost the residential market, starting in 2022. Initially through the dynamization of residential construction, but later through the appreciation of the housing stock, according to the same study by the banking group.
A Portugal Homes possui profissionais muito experientes e conhecedores, que trabalham com alguns dos promotores mais reconhecidos em Portugal . A nossa vasta experiência permite-nos guiá-lo pelas melhores opções de investimento.
Seja casa de férias ou uma propriedade para investimento, selecionamos as melhores propriedades para o seu perfil e tratamos de todo o processo do início ao fim. Mesmo após a venda! Os nossos serviços de pós-venda assumem a responsabilidade de mobilar a seu gosto, manter a propriedade na sua ausência, dar apoio ao arrendamento, no caso de querer arrendar e muito mais!
Para saber mais sobre Residentes Não Habituais em Portugal e sobre os nossos serviços pós-venda, preencha o formulário abaixo.
É fantástico como o Ryan tinha um conhecimento completo sobre Lisboa e nos tratou da melhor maneira.Akbar Ali - Investidor do Paquistão
Ryan é muito profissional, mas também amigável e conhecedor do mercado Golden Visa. Também se mostrou flexível, pois, com um curto aviso prévio, viajou do Algarve para me se reunir comigo em Lisboa e substituir 1 colega.Investir do Reino Unido
A Portugal Homes fez um excelente trabalho mantendo-me atualizado sobre o progresso da compra da minha nova casa, fornecendo relatórios regulares e abrangentes. Isto ajudou-me a aliviar a ansiedade sobre a compra de uma casa durante a pandemia.Investidor dos EUA
Embora através do Zoom, estabelecemos uma grande confiança na integridade do George. [Foi] importante para nós ter confiança na capacidade do staff em se sentir alinhados em visões.Donald Collie de Austrália
O processo foi bastante rápido e claro. Obtive toda a informação que precisava na primeira hora de conversa. A experiência foi perfeita.Tomoko Inoue do Japão
Overwhelming. Luisa has exceeded our expectations on all levels. Trust was established immediately. Enhanced by super friendly professionalism. The networks to banks, accountants, lawyers was seamless. there is not enough space here to write all the positives, enough to say we are making an offer and we only arrived 4 days ago. Its impossible to improve from perfection!John Mulroe and Wiebke Bock