The Barometer by the Forum of Managers and Executives (FAE) highlights a persistent focus of Portuguese decision-makers on political and institutional factors at both international and national levels.
The “international situation” has witnessed an increase, rising from 35.8% to 40.6%, solidifying itself as the main concern for national managers. Meanwhile, the category “Government and politics” experienced a decline from 42.1% to 33%, but remains among the top two critical issues.
In a secondary tier but still “of significant concern,” the FAE notes apprehension regarding “hiring and retaining talent” (which decreased from 8.4% to 5.7%), “taxes and taxation” (rising from 4.2% to 5.7%), and “digitalization and technological disruption” (up from 1.1% to 5.7%).
Notable slight changes were observed in areas such as “legislation and regulation,” which saw a modest increase from 2.1% to 3.8%, while “competition and business model” showed a reduction from 3.2% to 1.9%.
Other areas of concern, including “interest rate,” “inflation rate,” “logistics and supply chains,” and “corruption” remained relatively stable with marginal variations (from 1.1% to 0.9%), according to the FAE, indicating “a lesser perceived impact on management decisions in the short term.”
Regarding the managers’ optimism index, the Forum notes a “slight recovery,” rising from 2.30 in March to 2.55 in April. This suggests a “partial reversal of the decline observed in the previous month and a possible return to the confidence trend seen until February.”
Nevertheless, the index has remained in negative territory since September 2023, reflecting “an overall atmosphere of caution and uncertainty within the Portuguese business landscape.”
Launched in September 2021, the Monthly Barometer of Portuguese Managers is based on a monthly survey of FAE members regarding their primary concerns for the upcoming 12 months, as well as their levels of optimism and pessimism for that period.
Based on responses—typically ranging between 170 and 210—the Forum produces a monthly barometer that tracks the evolution of concerns and optimism among Portuguese managers over an extended timeline.
Established in 1979, the FAE is the representative association of managers, counting among its members the executives and managers of Portugal’s largest companies, including 12 CEOs of the current PSI index.
