Portugal among the 10 most attractive countries for FDI

Portugal among the 10 most attractive countries for FDI
Reading time: 7 minutes
Published: 14th July 2021, 12:38pm
Updated: 22nd July 2021, 5:38pm

In a year marked by the pandemic, Portugal joined the 10 most attractive countries for foreign direct investment (FDI), according to the EY Attractiveness Survey 2021. 

The study assesses annually foreign investors’ perception of the country’s attractiveness for investment and, this year, Portugal conquered the 10th place of the ranking hence being on the top 10 most attractive countries.

Last year, the world economy endured a challenging hit brought by the Coronavirus outbreak, and Portugal was no exception. Nevertheless, it was still a historical year regarding investment transactions. With 154 enrolled projects, Portugal entered the ranking of 10 of the best investment destinations in Europe, showcasing the country’s resilience when contrasting with other European nations.

The uncertainties brought about by the COVID-19 pandemic in 2020 caused a fall in the attractiveness of FDI in European countries. Investment levels fell by 13% in Europe, compared to the previous year. In Portugal, 154 Foreign Direct Investment projects were announced, representing a decrease of only 3% compared to the 158 counts of the last year. 

Portugal is retaining high investment numbers

The country has been consolidating its position as the investment destination in Europe. This year, the large majority of foreign direct investment projects were new projects instead of expansions (73% vs 27%).

Evolution in the number of Foreign Direct Investment projects

This year’s projects resulted in the creation of more than 8,947 jobs, of which 57% resulted from new projects. These are very positive results given the pandemic context we are living in, with a global impact on the world’s economy.


Read also:


Despite the slight downturn of 3% in foreign direct investments, 37% of respondents to the EY Attractiveness Survey, plan to create or expand operations in the country in the next 12 months.

A high level of foreign direct investments is here to stay. The results show that investors remain optimistic, as:

  • 37% of investors are planning to establish or expand operations here over the next year
  • 50% of investors consider that Portugal’s attractiveness will improve in the next three years

Read also:

Foreign Direct Investment (FDI) trends

This year’s results also revealed that Real Estate and Construction have strengthened their position as one of Portugal’s growth drivers. With 39% positive answers, these sectors were considered the second-largest growth driver, right after “Digital Economy” - Software & IT Services. These industries were revealed to be resilient during the past crisis, having been one of the least impacted last year.


Read also:


For the upcoming years, both residential and commercial trends are positive, and a new trend is likely to shape this sector. As employees are expected to work from home, real estate investment in residential areas is expected to increase in areas surrounding large cities. Regarding property costs, Portuguese residential prices are more competitive when compared to other European countries.

Looking at Portugal’s main attractiveness factors, the study highlighted the country’s privileged weather, as well as the fact that it is a safe and social place to live. It also mentioned Portugal’s high coverage of infrastructures (transport, telecoms, energy) and its available and high-skilled workforce. Nonetheless, the country should keep investing in innovation, transparency and high-qualified professionals, which will be the engines for long term growth.


Read also:


Portugal has currently one of Europe’s most popular immigration schemes - the Portuguese Golden Visa - granting investors the right to live, work, and study in the country and visa-free travel within the Schengen Zone. If you are considering taking advantage of this programme, now is the right time to do it, as changes are being set into motion in January 2022, which means investors will no longer be able to purchase residential properties in high-density areas such as Lisbon and Porto. You can learn more about the Golden Visa changes here.


Read also:

Looking for recapitalisation and profitability through real estate investments? 

Get in touch with us!

 

Source: EY Attractiveness Survey Portugal 2021

20th July 2021
Verónica’s path in the real estate business began in 2015 when this…
9th July 2021
Portugal is the 5th best-ranked country in the Expat Insider 2021 survey,…

Comprar uma propriedade em Portugall

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.

O meu consultor, Mathew McGurn, foi realmente excelente! Os seus conhecimentos, profissionalismo e atenção ao detalhe foram muito apreciados. Ele trabalhou duro não apenas para encontrar uma propriedade que atendesse a todos os meus requisitos, mas também negociou com sucesso com os agentes, garantindo que minha oferta conquistasse outros compradores que disputavam a mesma propriedade. Além disso, as suas capacidades de comunicação, tempo de resposta rápido e ajuda geral para a minha instalação em Portugal foram acima e além do normal.

Investidor dos EUA

Caro Sérgio, muito obrigado por arranjar o nosso 1º Esquerdo. Nós amamos a nossa casa nova, e a sua atenção aos detalhes é muito apreciada.

Tim Thronson - Investidor dos EUA

Um serviço completo, oportunidade única. Muito fácil para nós como estrangeiros. O Ryan Dunn superou as nossas expectativas. Estamos muito felizes com trabalho dele!

Jose Arias - Investidor dos EUA

Todas as pessoas com quem me encontrei e com quem falei têm sido extremamente experientes e profissionais. Lidar com nativos em inglês que entendem as coisas da minha perspectiva foi muito reconfortante. Por fim, saber que estava com o Matthew ao meu lado deu-me confiança para prosseguir com o processo de compra de um apartamento em Lisboa. Muito obrigado.

Investidor dos EUA

Até agora, tem sido ótimo. O Simon é muito experiente e amigável.

Loay El Abiad - Investidor da Arábia Saudita

É fantástico como o Ryan tinha um conhecimento completo sobre Lisboa e nos tratou da melhor maneira.

Akbar Ali - Investidor do Paquistão