Portugal | Tourism Sector Represents 20% of GDP

 

Portugal,  country in Sothwestern Europe in the Iberian Peninsula bordering Spain and the Atlantic Ocean, a destination much loved for its rich cultural, historical, artistic heritage, stunning beaches, gastronomy, fine wines and mild climate all year round has found through a careful analysis by the Minister of Finance that the tourism sector represents 20% of GDP.

Finance Minister Joaquim Miranda Sarmento during his participation in a panel at the Web Summit in which the economic challenges for Portugal were addressed expressed his opinion in an analytical way about the situation by declaring that the Portuguese economy should no longer be as dependent on the tourism sector as it is currently, arguing that the focus should be more on increasing investment in technology and innovation and increasing the ability to export goods and services.

Tourism is a very important sector for the Portuguese economy, it accounts for almost 20% of GDP, but this importance must be reduced.

The only way to make the country grow in order to increase people's income and improve public services is with innovation, services and high technology.

According to the Minister, Portugal has witnessed this transformation, arguing that the country exports much more than 15 years ago, especially in terms of technology, and that this share currently represents 50% of GDP and is the path that must be followed.

In addition to the need to diversify sources of income, the main problem of the economy is the lack of human capital, a challenge that mainly affects the economic sectors most dependent on international  human resources, such as hotels, restaurants and agriculture.

There is not an economic sector that does not complain about a lack of workers and they are changing the rules on immigration, regulating and attracting people who work in these areas with contracts, efforts are being undertaken to attract even the most qualified people, whether through the tax regime to avoid residents as IRS Jovem. These tax benefits will allow for the country to attract workers from all sectors.

Link - https://www.theportugalnews.com/news/2024-11-14/tourism-represents-20-of-gdp/93555