Foreign direct investment creates 6,100 new jobs

09 Jul 2019

buildingsA recent report from consultancy firm Ernst & Young (EY) revealed that foreign direct investment (FDI) has resulted in 74 projects being developed last year and consequently creating more than 6,100 new jobs in Portugal.

“In the light of a scenario in which investors’ perceptions of Europe are getting worse, Portugal remains perceived as an interesting location for foreign investment, with better results than in other countries where EY conducted this report,” said Florbela Lima, the consultant’s partner, when referring to the Attractiveness Survey Portugal report.

“In Europe, in 2018, there was a slowdown in foreign investment, also resulting in a reduction in the projects of FDI nationally. However, and even taking into account this scenario, 74 FDI projects were guaranteed, creating at least 6,100 new jobs.”

The EY report, which surveyed 205 investors from 19 countries, showed that 52% of participants thought Portugal’s attractiveness would only expand in the next three years. This marked the largest percentage when compared to other countries such as France (30%), Belgium (28%), Germany (40%) and the Netherlands (45%).

On the other hand, a mere 25% revealed plans to invest in the country over the next year. However, according to EY, the report indicated that the “attractiveness of Portugal remains strong and short-term investment plans in the country are among the highest in Europe.”

The report also revealed that the main factors bringing in foreign direct investment are “quality of life (noted by 90% of the participants), followed by the stability of the social climate (79%), telecommunications infrastructure (73%), the level of competence of local workforce (72%) and labour cost (71%).”