Finance: Economy news in Portugal

Live coverage of the markets and the economy – September 14

A daily live update on market movements and economic developments.

Portugal was the 18th largest producer and 13th largest exporter of footwear globally in 2025

Portugal ranked 18th in global footwear production and 13th in exports for the year 2025.

Jornal Económico13 Sept

What would our economy be like if we didn't have foreign workers?

From tourism to agriculture and Social Security, João Rodrigues dos Santos explains why foreign workers are so important to the Portuguese economy. The economist advocates for more resources for integration.

ECB confirms 25 basis point interest rate hike to 2.5%

The European Central Bank (ECB) raised interest rates this Thursday (September 10) for the second time this year, following the June increase, lifting the benchmark rate from 2.25% to 2.5% amid sharp rises in oil and gas prices linked to the conflict in the Middle East. The decision, which was anticipated by markets, puts interest rates at their highest level since March 2025, at a time when Brent crude is hovering around $100 per barrel, European natural gas is approaching €80, and inflation in the eurozone has reached 3.3%. The hike follows the ECB's decision in July to hold rates steady due to uncertainty regarding the conflict and energy markets. Since then, oil has risen by about 14% and gas by over 30%, increasing the risk of the energy shock spreading to the wider economy. With this decision, the interest rates on the deposit facility, the main refinancing operations, and the marginal lending facility will be increased to 2.50%, 2.65%, and 2.90% respectively, effective from September 16, 2026. In a statement, the ECB noted that today's decision 'reinforces the Governing Council's commitment to setting a monetary policy that ensures inflation stabilizes at the 2% target over the medium term.' With Lusa.

Financial storms

Families and businesses will suffer from interest rates and inflation.

A world power 'exercised its power as the largest buyer'. That is why prices have not risen further

António Costa Silva, former Minister of Economy, analyses the factors that led to the rise in oil prices.

Portugal 10Y Bond Yield Hits 9-year High

TradingView9 Sept

Montenegro: “Balanced public accounts are not valuable in themselves, but they have great value for people's lives”

At the end of the Council of Ministers meeting in Bragança, the Prime Minister confirmed the extension of the extraordinary support for agricultural diesel until December 31st.

War has already generated an extra cost of €1.3 billion in fuel in Portugal

The conflict has led to a significant increase in fuel prices, resulting in an additional expenditure of €1.3 billion for the Portuguese economy.

ECO of the Week: ECB interest rate hike, motion of no confidence, and the new iPhone

The week in 30 seconds. The dust has not yet settled after the hurricane that hit sovereign debt markets, and this week interest rates will remain in focus with the hike at the European Central Bank meeting and the implementation of the increase in US Treasury buybacks announced in August by Scott Bessent. Portugal, which...

Financial loan from Venezuela to Portugal

A report regarding a financial loan provided by Venezuela to the Portuguese state.

RTP Arquivos5 Sept

TAP: Government begins final negotiations with the two candidates

The Government will begin final negotiations with the two candidates who submitted binding offers for the purchase of 44.9% of TAP, Air France-KLM and Lufthansa, as announced this Friday, September 4, by the Minister of the Presidency, Leitão Amaro. Minister Leitão Amaro stated that the offers, while different, have a “very similar overall valuation,” which justifies “the negotiation effort” with both competitors, with the goal of obtaining “improved proposals” so that the Government can choose “a single competitor for the final negotiation.” On September 1, Parpública submitted to the Government for analysis the report on the two binding offers for the privatization of TAP, a process which provides for the sale of up to 49.9% of TAP's capital, of which 5% is reserved for employees, with any unsubscribed portion potentially being acquired by the selected investor under a right of first refusal. TAP: Government received Parpública report on Air France and Lufthansa proposals.

Debt interest rates continue to rise and reach multi-decade highs in several markets

Sovereign bond prices continue to fall for the second consecutive day

Portugal is among the countries least vulnerable to rising debt interest rates

Portugal shows greater resilience compared to other nations regarding the impact of increasing interest rates on public debt.

Jornal de Negócios2 Sept

Public debt falls to 286.3 billion in July

Public debt under the Maastricht definition, which is the metric used by Brussels, decreased by approximately 7.55 billion euros in July to 286.34 billion euros, according to data released this Tuesday by the Bank of Portugal (BdP). This development 'reflected the decrease in long-term debt securities (-8.3 billion euros), mainly due to the redemption of a Treasury bond issued in 2016,' the BdP explained in a note. Conversely, deposit liabilities increased by about 1 billion euros, partly due to private investment in savings certificates. Compared to the same month in 2025, the decrease was 1.806 billion euros. The institution led by Álvaro Santos Pereira also indicated that public administration deposit assets reached approximately 24.1 billion euros, about 7.3 billion euros less than in June. Net of these deposits, public debt fell by 208 million euros month-on-month and rose 1.1% year-on-year, reaching 262.244 billion euros. Public debt rises to over 280 billion in January.

Trump's war in Iran "is contaminating everything", from fuel to inflation, and "there is no prospect of a quick outcome"

Pedro Santos Guerreiro, executive director of CNN Portugal, analyses the impact of the war in Iran on petroleum products and comments on the evolution of the Portuguese economy, which grew by 0.8% in the second quarter.

The war has entered the European budget

The war in Ukraine is no longer just a foreign policy issue; it is becoming a central question of European budgetary policy. The debate has shifted from how long the EU will support Kyiv to a more difficult challenge: how to simultaneously fund Ukraine, European defence, competitiveness, the energy transition, agriculture, and cohesion. Germany, alongside other net contributors, is pushing for significant budget cuts, rejecting new common debt, while the European Commission's proposal seeks to drastically increase funding for defence and security. This tension forces a redefinition of European priorities, where traditional policies like cohesion are being re-evaluated through the lens of strategic resilience and military mobility. Ultimately, the next European budget will define the shape of the Europe emerging from the war.

PRR 100% executed but weighing on the State Budget

Excluded works and those that were over-contracted will weigh on public accounts. The government does not yet know how much the bill will be.

Economy minister admits “nation must learn to live with less EU funding”

Minister of the economy and territorial cohesion, Manuel Castro Almeida, has warned today that Portugal must learn to live with less European funding and to channel a larger share of The post Economy minister admits “nation must learn to live with less EU funding” appeared first on Portugal Resident.

"The RRP is fully completed," guarantees Castro Almeida

In a press conference, Manuel Castro Almeida guaranteed that the RRP will be fully completed. The Minister of Economy highlights that more than 100% has been contracted, and therefore it is considered fulfilled.

Government confirms 100% execution of the Recovery and Resilience Plan

Castro Almeida stated that all 44 reforms have been fully completed.

“The RRP is fully completed”, guarantees Castro Almeida

The Minister of Economy and Territorial Cohesion, Manuel Castro Almeida, announced this Friday that Portugal has fully completed the Recovery and Resilience Plan (RRP), guaranteeing the fulfillment of all planned milestones and targets and the execution of 100% of the grants allocated to the country. “It is good news: the RRP is fully completed”, he stated.

Eurozone bailout fund returns to dollar-denominated debt but pays more to attract investors

The European Stability Mechanism (ESM), the Eurozone's bailout fund and Portugal's largest creditor, has returned to international markets to issue debt in US dollars to diversify its investor base. The institution raised 2 billion dollars through a new five-year bond, though it had to offer a higher interest rate (4.375%) compared to a similar issuance a year ago (3.75%). While demand remained solid at 6.1 billion dollars, it was significantly lower than the 13.3 billion dollars recorded in the previous year. The ESM, led by Pierre Gramegna, maintains that the dollar program is essential for reaching non-European investors, even as the euro remains its primary funding currency. The ESM currently holds approximately 23 billion euros of Portugal's sovereign debt.

Central banks face difficulties in renovating or relocating headquarters

Several central banks across Europe and the United States have promoted a wave of renovations for their headquarters in recent years, with many projects facing problems and controversy, particularly due to rising costs compared to initial estimates. In Portugal, the decision for a new building for the Banco de Portugal by Mário Centeno sparked...

REN: a public presence in strategic decisions

REN – Redes Energéticas Nacionais is the concessionaire for the national high-voltage electricity and high-pressure natural gas transmission networks. Within the Portuguese electrical system, it performs functions that rarely reach the daily lives of consumers, but upon which much of our economy's operation depends: electricity transmission...