Portugal's GDP outpaces much of the European Union
Portugal closed 2025 as one of the European Union’s strongest-performing economies, according to new data.
Preliminary figures released by Eurostat, the European Commission’s statistical agency, show that Portugal’s gross domestic product (GDP) grew by 0.8% in the final quarter of 2025. This is more than double the eurozone’s growth rate of 0.3% over the same period.
Across the wider EU, the average quarterly increase stood at 0.4%.
Portugal’s robust economic performance is further reflected in its annual GDP growth, which reached 1.9% year-on-year. This comfortably exceeded the EU average of 1.4%.
By comparison, Germany recorded growth of just 0.4%, while France saw a 1.1% increase.
Among EU countries where data was available, Lithuania recorded the strongest quarterly performance, with growth of 1.7%. Portugal and Spain followed closely, both reporting growth of 0.8%. Ireland was the only country to record a contraction, with GDP declining by 0.6%.
Across the bloc, year-on-year economic growth was recorded in 14 countries, while one country saw no change.
Portugal maintained steady momentum throughout 2025, with quarterly GDP growth ranging between 1.7% and 2.3% compared with 2024 levels.
Statistics Portugal, the Portuguese government’s statistical authority, explained: “Compared to the third quarter of 2025, GDP increased by 0.8% in volume, after a 0.7% increase in the previous quarter.
“In 2025, GDP grew by 1.9%, in volume, after increasing by 2.1% in 2024.
“Domestic demand presented a positive contribution to the annual growth of GDP in volume, higher than in the previous year, reflecting the acceleration in private consumption and investment.”
Paul Stannard, chairman and founder of Portugal Pathways, said: “This demonstrates the solid progression of Portugal’s economic foundations.
“Its GDP is increasing at a faster rate than many other EU nations and once again highlights just why it is becoming so popular for international investors.”
Portugal’s economic expansion in recent years has also been supported by its Golden Visa residency-by-investment programme.
Research from the World Digital Foundation shows that since launching in 2012, the Golden Visa has generated €54 billion in contributions to Portugal’s broader economy.
Original link: https://www.theportugalnews.com/news/2026-02-04/portugals-gdp-outpaces-much-of-the-european-union/954272
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