OECD Observer
Home
Menu
Country snapshots 2017-18: Portugal
portugal,oecd,economy

GDP growth is projected to remain subdued, at about 1.25% in 2017 and 2018. High corporate leverage and a fragile banking sector will hold back private investment and still high unemployment will restrain consumption growth. As economic lack will persist, inflation will remain low.  

Boosting investment and productivity are key to raise living standards and growth. Investment incentives could be strengthened through further reforms to simplify administrative procedures, including land use regulations, improvements in judicial efficiency to facilitate insolvency procedures, and easing entry barriers in professional services. Removing distressed legacy loans from bank balance sheets and opening up new sources of financing are needed to facilitate investment.  Improving skills is also crucial to raise productivity, including through a continued expansion of adult education and training and more effective vocational education.      

GDP growth

2013

Current prices EUR billion

2016

   

2017

% real change

2018

   

170.3 1.2 1.2 1.3

Visit www.oecd.org/eco/economicoutlook.htm                            

©OECD Observer No 308 Q4 2016