The Bank of Portugal (BdP) reports that foreign direct investment (FDI) transactions in Portugal reached 4.8 billion euros in the third quarter, compared to 5.4 billion euros in the same period last year. Of this, 3.4 billion euros were invested in the capital of Portuguese entities, including 1 billion euros in real estate investment.
European countries led in investments in Portugal during this period, with notable contributions from Spain (1.4 billion euros), Luxembourg (800 million euros), France, and the United Kingdom (400 million euros each).
Conversely, Portugal’s direct investment transactions abroad totaled 2.1 billion euros in the third quarter, down from 2.9 billion euros in the same period last year.
In terms of immediate counterpart, investment was particularly directed towards European countries, notably the Netherlands (700 million euros) and Spain (700 million euros).
As of the end of September, the stock of foreign direct investment in Portugal was 208.1 billion euros, while Portugal’s direct investment stock abroad totaled 78.4 billion euros.
These amounts represented 69% and 26% of the Gross Domestic Product (GDP), respectively.
The BdP notes that since 2008, both stocks have increased at different rates: FDI has more than doubled between the end of 2008 and the third quarter of 2025, while overseas investment grew by 50%.
When measured as a percentage of GDP, the weight of FDI increased by 23 percentage points, while the weight of overseas investment decreased by three points.
Regarding direct investment income, in the third quarter, FDI income paid to non-residents totaled 3.8 billion euros, consistent with the previous year’s figures.
Meanwhile, income from overseas investment received from non-residents amounted to 1.8 billion euros, 100 million euros less than in the same period last year.
