Portugal losing ground to Belgium and Italy as investment destination

Portugal is again losing ground when it comes to foreign direct investment (FDI) attraction, falling to 9th place in the EY Attractiveness Survey 2024’, being overtaken by Italy and Belgium in the ranking of the top 10 investment destinations in Europe.

The study was published by the tax consultancy on Friday (September 26) and it was the second time that Portugal fell in the ranking, this time by 11% in the number of projects financed by foreign investment, to a total of 196.

“The overseas investment trajectory in Portugal has entered a more cautious phase”, said Miguel Farinha and Miguel Cardoso Pinto, who are responsible for the EY ranking.

“This fall reflects not just domestic limitations, But also complex global dynamics with macro-economic uncertainty (tariffs and high interest rates) and also international geo-political tensions (Middle East and Ukraine) so that Portugal continues to be exposed to changes in investors confidence”.

All told, Portugal occupies 9th place in the ranking, when in 2023 it was in 7th place, having now been surpassed by Belgium and Italy on the list of the best European Investment Destinations.

The top 10 continues to be headed by France, the United Kingdom (these both despite their economies tanking and debt ballooning), Germany, Spain, Turkey, Poland, Italy and Belgium, in that order,