Portugal

Foreign capital explains 71% of the growth of service exports in the last decade

Read full article at source ↗

Based on a feed excerpt; full article content has not been acquired. Source evidence retrieved 07/10/2026, 12:56:23 UTC.

Briefings

Portuguese non-tourist service exports grew by 71% over the last decade, with foreign-owned enterprises accounting for 71% of that increase. Foreign direct investment (IDE) participation rose from 27% in 2016 to 36% in 2025, particularly in telecommunications and IT services where it explained 85% of growth. The expansion was driven mainly by existing exporters expanding their sales rather than new entrants, though new entrants contributed 18.1% of the total growth. Key facts include 94 companies accounting for half of all non-tourist service exports, with the top four holding 20.1% of total exports in 2025.

Key points

• Foreign-owned enterprises account for 71% of the 71% growth in non-tourist service exports between 2016 and 2025.
• Foreign direct investment (IDE) participation increased from 27% in 2016 to 36% in 2025, with 85% of growth in telecommunications and IT services.

Context

The Banco de Portugal analyzed Portuguese non-tourist service exports from 2016 to 2025, revealing that foreign-owned enterprises drove the majority of growth. Foreign direct investment (IDE) participation rose from 27% in 2016 to 36% in 2025, particularly in telecommunications and IT services where it explained 85% of growth. The expansion was driven mainly by existing exporters expanding their sales rather than new entrants, though new entrants contributed 18.1% of the total growth.

Limitations

Data is nominal and includes price effects. Causal links between foreign ownership and export growth cannot be isolated. Future dynamics depend on export base expansion, sectoral diversification, and favorable market conditions.

Generated by Bittrees-hosted qwen35-2b sha256:aaf42c8b7c3c on 28/10/2026, 08:21:19 UTC. Based on publisher-provided feed evidence; may not cover the full original article. Check the source for details.

View archived briefing on IPFS
bafybeibutzodgt3hcyaxpoe6n6uzg3fqv7hdkrpuioy44zoxpikmkll7sy