Portugal's economy explained: GDP data, market trends, business developments, inflation, real estate, and economic policy. Analysis of how economic trends affect daily life and expat finances.
The Bank of Portugal's first look at mixed-rate loans leaving their fixed period: about 20 percent of 2023 contracts were renegotiated near the switch to Euribor, often for a new fixed rate. With fixed periods near two years, many more borrowers are close behind.
José Luís Carneiro says the 2027 budget deserved a no vote but the PS will abstain to avoid a political crisis. With 91 government seats against at most 81, it should clear the general vote on 27 and 28 October; the final vote is on 24 November.
The Tax Foundation's 2026 International Tax Competitiveness Index gives Portugal 59.6 points and 33rd place of 38 OECD countries. Corporate and cross-border rules rank near the bottom; individual, consumption and property taxes sit mid-table.
The minimum wage rose 5.7 percent to 920 euros in January. With inflation forecast at 3.1 percent, the real rise is about 2.6 percent, down from 3.8 percent in 2025. The 970 euros planned for 2027 would add about 3 percent in real terms.
Portugal's trade agency got 5.1 million euros in 2025 from the bankruptcy of Qimonda's Dutch holding company, money owed for subsidies given before the 2009 collapse. The German administrator says Portuguese public claims should be met almost in full.
The third section of the Lisbon to Porto high-speed line could go out as two contracts instead of one, Jornal de Negócios reports. IP's own timetable puts the tender in the second half of 2026 and completion in 2033.
Social Security's own figures, published with the 2027 budget, show women's average old-age pension 42 percent below men's in 2025, against 43 percent in 2015. For new pensions the gap fell from 41 to 34 percent.
