Portugal GDP Growth Revised Up in Q4
2026-02-27 11:29
By
Joana Taborda
1 min. read
The Portuguese economy expanded 0.9% on quarter in Q4 2025, the strongest performance in a year, above initial estimates of 0.8% and compared to a downwardly revised 0.6% in Q3.
The contribution of net external demand turned positive (+1.1 pp vs -0.9 pp), reflecting declines in both exports and imports of goods and services, with the decrease being more pronounced for imports.
On the other hand, the contribution of domestic demand was -0.2 pp (compared with +1.5 pp in the previous quarter), driven by a decline in investment and a slowdown in final consumption expenditure.
On an annual basis, the economy grew 1.9% in Q4, slowing from a downwardly revised 2.2% in Q3 but matching initial estimates.
For the full year 2025, Portuguese GDP expanded 1.9%, slightly below 2.2% in 2024.
Domestic demand supported the growth, driven by faster final consumption, while net external demand weighed more heavily, as exports of goods and services slowed more sharply than imports.