The minister for the economy and maritime affairs in Portugal, António Costa Silva, has stated unemployment growth in Portugal in Q2 “is not dramatic”, yet the reasons need to be explored.

“It is news that, although unemployment has grown, it is not dramatic. We have to investigate what the reasons are, but in my view, at this point, it is not a major warning sign or disturbance,” the minister stated.

Silva was referring to the National Statistics Institute (INE) data for Q2, which indicated an unemployment rate of 6.1%, a year-on-year rise of 0.4 percentage points and a fall of 1.1 percentage points compared to Q1.

The minister went on to say that it’s essential to look “calmly and thoughtfully” at the INE data, as the Q2 unemployment rate “remains low at the level of the country’s historical lows.”

He also made reference to the “slight decline” in exports, stating that in Q1, exports rose.

“If you look at pharmaceutical products, we had a growth of 155%. If you look at the components industry, we had a 22.5% growth. The food industry grew by more than 15%, the metalworking industry by more than 20%,” he added. 

Silva said that with some European countries in recession and considering the situation in Germany with “the economy stagnating”, Portugal’s economy has shown “great resilience.”

“The ability of our companies to diversify export markets is absolutely extraordinary,” he said, adding that he hopes the “negative constraints” in certain European economies of “stagnation and probably recession” will not have “a very significant impact” in 2023.

Silva also transmitted a message of “serenity,” saying that the Portuguese economy “is responding and will continue to respond.”

Furthermore, INE also showed exports declined by 4.9% and imports by 6.1% in Q2 year-on-year.