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Macro - Country Economic Forecasts - Portugal

Publisher Oxford Economics
Published Aug 15, 2025
Length 8 Pages
SKU # OFE20317568

Description

We've kept our GDP growth forecasts for Portugal unchanged at 1.8% for 2025 and 2.3% for 2026. GDP rose 0.6% q/q in Q2, in line with our expectation and confirmed the economy resumed solid growth after contracting in Q1. We think growth will be boosted in H2 by some income tax cuts and an extra payment to pensioners, which will reinforce income growth. A step-up in spending under the EU's Recovery and Resilience Facility also supports our outlook.

Table of Contents

8 Pages
Portugal: Solid growth resumed in Q2, supporting our 2025 outlook
Forecast overview
Recent developments
Short-term outlook
Key drivers of our short-term forecast
Economic risk
Economic risk evaluation
Risk warnings
What to watch out for
Exposure to key global risks
Long-term prospects
Alternative scenarios
Background
Economic development
Structure of the economy
Balance of payments and structure of trade
Policy
Politics

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