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“Tourism is generating one and a half PRR per year for our economy.”

The Recovery and Resilience Plan (PRR) amounts to 22 billion euros over five years. Tourism generates the equivalent of one and a half PRRs annually for our economy,” stated Pedro Machado, in reference to the EU-funded initiative.

In a speech focused on the economic and strategic strength of the tourism sector, the Secretary of State highlighted that by 2024, Portugal had recouped and exceeded the tourist levels of 2019, a record year before the pandemic.

This year, the government forecasts a 3 to 4% growth in tourist numbers and a 6% increase in revenues, potentially driving the annual total to around 30 billion euros.

Pedro Machado dismissed claims of over-dependency on tourism, stating, “It is not true that Portugal depends on a single industry. Tourism spans 49 economic activities,” elucidating its impact on mobility, agriculture, culture, and manufacturing.

He also downplayed concerns over excessive tourist inflow, stating, “No, we do not have too many tourists. We need better distribution of visitor flows in terms of time and geography.”

He announced the forthcoming presentation of the new National Tourism Strategy 2030 in September, focusing on sustainable growth, enhanced tourism experiences, and visitor satisfaction.

On mobility, he stressed that 96% of entries into Portugal occur by air, underscoring the need to address airport constraints and expand routes. “TAP is launching new connections with the United States, Mexico, Argentina, Australia, and Saudi Arabia,” he remarked.

Pedro Machado also tackled the labor shortage in the sector, advocating for measures such as a “green lane” for immigrant workers. “We faced this issue even in 2019. Today, 15% of the resident population in Portugal is foreign and contributes significantly to our economy,” he noted.

The Secretary of State also highlighted urban redevelopment projects supported by Turismo de Portugal, stating, “We have already rejuvenated several municipal markets and visitor sites. These are active public policy tools on the ground.”

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