Portugal Government News Headlines

In April 2024, the number of deaths was 9,519, lower than the number registered in March 2024 (1,039 less deaths; -9.8%), but higher than that registered in April 2023 (283 more deaths; +3.1%).

In March 2024, 6,770 children were born alive, a number that increased 9.1% compared to February 2024 (6,204) but decreased 4.3% compared to March 2023 (7,071).

In that month, the natural balance was -3,772, slightly worsening compared to the same month of 2023, when it reached -3,489.

In March 2024, 1,951 marriages were celebrated, corresponding to an increase of 36.9%, compared to number of marriages held in February 2024 (526 more marriages) but to a decrease of 2.1% compared to March 2023 (41 less).

In 2022, 124,942 people died in the country, 0.2% less than in 2021 (125,233). Of all deaths in the country, 124,361 were residents (99.5% of the total).

Deaths from diseases of the circulatory system and malignant neoplasms accounted for 48.9% (0.9 pp more than in 2021), still not reaching half of the deaths that occurred in the country, as in 2021 resulting from the impact of the COVID-19 disease.

Cerebrovascular diseases were the cause of the highest number of deaths in 2022, with 9,616 resident deaths due to stroke, which accounted for 7.7% of total resident deaths. The crude mortality rate from cerebrovascular diseases was 92.1 resident deaths per 100,000 inhabitants, higher than in 2021 (92.2). Women continued to be the ones most fatally affected by strokes, with a ratio of 75.8 male deaths per 100 female deaths, which, having decreased compared to the previous year (77.8), reflects the relative worsening of the female condition.

Of all deaths due to malignant neoplasms, 4,410 resident deaths caused by malignant neoplasms of the trachea, bronchi and lung stood out, which represented 3.5% of the total resident deaths and increased by 0.5% over the previous year. These neoplasms continued to affect men and women very differently, with crude mortality rates of 64.5 deaths per 100,000 men and 21.9 deaths per 100,000 women, resulting in a ratio of 268.7 deaths of men per 100 of women.

In 2022, diseases of the respiratory system, which, according to WHO standards, do not include COVID-19 disease, caused 12,114 resident deaths, 18.1% more than in the previous year, with a substantial impact on total resident deaths (1.5 pp more, from 8.2% in 2021 to 9.7% in 2022) and, at the same time,  an increase in the mortality rate from 98.6 per 100,000 inhabitants in 2021 to 116.0 per 100,000 inhabitants in 2022. Almost 40% of the increase in deaths caused by diseases of the respiratory system was associated with the increase in deaths from pneumonia, with 4,488 deaths in 2022, which represented 3.6% of the mortality that occurred in 2022 (3.0% in 2021), and an increase of 19.5% deaths compared to the previous year.

Individually, the COVID-19 disease caused the second highest number of deaths (7,769 deaths), accounting for 6.2% of mortality in 2022, despite the decrease of almost 40% in the total number of deaths caused by this disease. The decrease in the number of deaths compared to the previous year was reflected in a substantial reduction in the mortality rate, from 124.5 deaths per 100,000 residents in Portugal in 2021 to 74.4 in 2022, remaining higher in the case of men (81.6) than women (67.8).

The implicit interest rate for all housing loan agreements decreased for the third month in a row, from 4.613% in March to 4.606% in April. For the contracts that were closed in the previous three months, the interest rate decreased for the sixth consecutive month, from 4.000% to 3.910%. The average value of owed capital increased 186 Euros, reaching 65,577 Euros. The average value of loan repayments stood at 404 euros, one euro more than in the previous month, an increase of 63 euros compared to the value observed in April 2023 (18.5% more). In the last month, interest represented 61% of the average repayments, which compares with 48% one year before. In the contracts celebrated in the last 3 months, the average value of loan repayments decreased 8 euros to 611 euros (3.6% higher than the same month of the previous year).

The total gross monthly earnings per employee (per job) increased by 6.1%, to €1,443, in the quarter ended in March 2024 (1st quarter of the year), compared to the same period of 2023. The regular and the base components of those earnings increased by 6.1% and 6.3%, reaching €1,285 and €1,209, respectively. In real terms, considering the Consumer Price Index change, the total gross monthly earnings increased by 3.8%, its regular component increased by 3.8% and the base monthly earnings increased by 4.0%. These results cover 4.6 million jobs, corresponding to Social Security beneficiaries and to Caixa Geral de Aposentações subscribers, an increase of 2.9% from the same period of 2023.

Compared to March 2023, the total gross monthly earnings increased in all dimensions of analysis (economic activity, enterprise size, institutional sector, use of technology and knowledge intensity). The largest increases were observed in the “Mining and quarrying” activities (section B; 12.9%), in enterprises of 500 employees and over (6.9%), in the public sector (6.3%), and in enterprises in “Knowledge-intensive market services” (9.4%).

In March 2024, 5.3 million passengers and 22.0 thousand tonnes of freight and mail were handled at national airports, corresponding to year-on-year variations of +8.1% and +14.6%, respectively, compared with March 2023.

At the beginning of 2024 there were still historic monthly highs of passengers at national airports. In March 2024, there was a daily average of 86.5 thousand passengers disembarked, a higher value than the one registered in March 2023 (80.0 thousand; +8.2%).

In the 1st quarter of 2024, the number of passengers handled increased by 5.9% and the movement of freight and mail increased by 13.6%.

France was the main country of origin and destination of flights, despite a decrease in the number of disembarked and embarked passengers compared with the same period of 2023 (-2.4%; -2.6%). The United Kingdom and Spain ranked 2nd and 3rd as the main countries of origin and destination.

Of the total persons who were unemployed in the 4th quarter of 2023, 56.4% (200.0 thousand) remained in that state in the 1st quarter of 2024, 25.9% (91.8 thousand) moved into employment and 17.7% (62.8 thousand) moved into inactivity.

In the same period, 28.7% (48.9 thousand) of unemployed men and 23.3% (43.0 thousand) of unemployed women moved into employment.

From the 4th quarter of 2023 to the 1st quarter of 2024, 30.8%  (70.0 thousand) of the short-term unemployed and 18.1% (24.6 thousand) of those inactives belonging to the “potential workforce” moved into employment.

At the same time, 9.7% (65.7 thousand) of those who were self-employed and 23.2% (82.1 thousand) of those who were unemployed  in the previous quarter became employees.

Of the total of employees who, in the 4th quarter of 2023, had a temporary work contract or other contractual arrangement, 22.5% (163.9 thousand) moved into a permanent work contract in the 1st quarter of 2024.

Of the total of workers who were part-time workers in the 4th quarter of 2023, 19.9% (79.7 thousand) changed to full-time work in the 1st quarter of 2024. 

The percentage of persons who remained employed between the 4th quarter of 2023 and the 1st quarter of 2024, but changed jobs, decreased by 0.4 pp compared to the last quarter, standing at 3.3% (159.4 thousand).

In March 2024, the tourist accommodation sector accounted for 2.3 million guests (+12.2%) and 5.7 million overnight stays (+12.8%), amounting to EUR 405.8 million in total revenue (+20.1%) and EUR 303.3 million in revenue from accommodation (+21.1%).

The average revenue per available room (RevPAR) stood at EUR 50.1 (+15.2%) and the average daily rate (ADR) amounted to EUR 96.9 (+11.7%). The ADR reached its highest value in Grande Lisboa (EUR 129.5) and RA Madeira (EUR 97.1). 

In March, the municipality of Lisboa concentrated 23.2% of all overnight stays (11.4% of the total number of residents’ overnight stays and 27.9% of overnights spent by non-residents). Among the municipalities with the largest number of overnight stays in March, Lagoa and Portimão stood out with the most significant growths, +45.6% and +19.8%, respectively.

In the 1st quarter of 2024, the number of overnight stays totalled 13.5 million, reflecting a growth of 7.1% (+3.9% concerning residents and +8.7% regarding non-residents), corresponding to increases of 15.0% in total revenue and 15.2% in revenue from accommodation.

Considering all means of accommodation (tourist accommodation establishments, camping and holiday camps, and youth hostels), there were 2.4 million guests and 6.1 million overnight stays in March, corresponding to increases of 12.2% and 12.9%, respectively. The number of overnight stays spent by residents increased by 10.9% and those spent by non-residents grew by 13.8%.

These results were influenced by the moving structure of the calendar, i.e., the effect of the holiday period associated with Easter, which this year was spread between March and April, whereas last year it was concentrated only in April.

In 2023, government expenditure reached 112.4 billion euros, corresponding to 42.3% of GDP, minus 1.8 percentage points (p.p.), compared to 2022. The expenditure in percentage of GDP was lower than the average for all countries in the Euro area (7.7 p.p.).

Compared to 2022, government expenditure increased by 5.5 billion euro in nominal terms (rate of change of 5.2%). Social benefits were the most relevant economic item, representing 41.2% of total expenditure. Compensation of employees and intermediate consumption weighed 24.7% and 12.5%, respectively.

Using the classification of functions of government, in 2022, the last year for which this information is available, the structure of government expenditure was focused on the social protection function (39.7%), followed by the health function and the general public services function, which includes interest payments, with 16.2% and 13.0%, respectively.

The Index of Production in Construction increased 3.0% in March in year-on-year terms (3 months moving average, working days and seasonally adjusted), down by 1.6 percentage points from February.

The employment and wages indexes grew 2.6% and 9.2% in March (change rate of 3.0% and 10.9% in the previous month).

Statistics Portugal releases, for the first time, a statistical study on StatsLab – statistics under development – for the measure of road traffic of the national stock of vehicles. There were presented results for the period 2016-2023 (provisional data) obtained from the odometer readings collected during the technical inspections on the national vehicles fleet.

In 2023, it is estimated that 79.5 billion vehicle-km (vkm) were travelled by the national stock of vehicles (-2.4% compared with 2022; +3.6% compared with 2016, first year of the series). Light passenger vehicles represented 73.5% of total traffic while light goods vehicles amounted to 18.5%. Diesel vehicles (all types of vehicles) represented 73.8% of the total vehicle-km and gasoline vehicles stand for 21.0%.

STATSlab - Statistics in development

The Consumer Price Index (CPI) annual rate was 2.2% in April 2024 (2.3% in March). The annual core inflation rate, which excludes energy and unprocessed food products was 2.0% (2.5% in the previous month). The annual rate of change for energy products increased to 7.9% (4.8% in March), due to the base effect related to the monthly decrease of 3.2% recorded in April 2023. The annual rate for unprocessed food was nil (-0.5% in the previous month).

The CPI monthly rate was 0.5% (2.0% in the previous month and 0.6% in April 2023), while the CPI 12-month average rate was 2.6% (2.9% in March). 

In April 2024, the Portuguese Harmonised Index of Consumer Prices (HICP) annual rate was 2.3% (2.6% in the previous month). This rate is 0.1 percentage points (p.p.) below the rate estimated by Eurostat for the Euro area (in March, the Portuguese rate was 0.2 p.p. above the figure for the Euro area). Excluding energy and unprocessed food products, the Portuguese HICP was 2.1% in April (2.8% in March), below the corresponding rate for the Euro area (estimated at 2.8%).

Services turnover index, in nominal terms and adjusted for calendar and seasonal effects, presented a year-on-year rate of change of 5.1%, up by 0.5 percentage points (p.p.) from the rate observed in February 2024.

In the 1st quarter of 2024, the index increased by 4.7% compared to the same period in 2023 (4.6% in the previous quarter).

The monthly rate of change of the total index was 2.6% in March (0.9% in the previous period).

The indices of employment, wages and salaries and number of hours worked adjusted for calendar effects presented year-on-year rates of change of 4.4 %, 12.0% and -0.3%, respectively (compared to 5.4%, 12.6% and 0.9% in February).

In the 1st quarter of 2024, the Labour Cost Index (LCI) recorded a year-on-year increase of 6.2%. In the previous quarter, it had increased 6.3%.

The wage costs (per hour actually worked) increased by 6.3%, and the other labour costs (also per hour actually worked) increased by 6.1%, compared with the same period of the previous year.

The year-on-year change of the LCI resulted also from the increase of 6.1% in the average cost per employee and the 0.2% decrease in the number of hours actually worked per employee. The increase of the average cost per employee was common to all economic activities, with smaller variations than those observed in the preceding quarter, with the exception of Public Administration, which rate of change remained the same (5.9%). The largest increase was observed in the Industry and Construction sectors, both with a variation rate of 6.3%. The hours actually worked per employee also recorded increases in all economic activities, with the exception of the total of the economy and Public Administration, where it decreased by 0.2% and 3.2%, respectively. The largest increase was observed in Construction (2.0%) and the lowest in Industry (1.4%). As a result of these variations, the LCI increased in all economic activities, with the largest increase being recorded in Public Administration (9.3%).

In March 2024, exports and imports of goods recorded nominal year-on-year rates of change of -13.6% and -15.5%, respectively (+2.6% and +1.7%, in the same order, in February 2024). 

In March 2024, there were decreases in exports and imports of Industrial supplies (-16.9% and -26.9%, respectively). The decrease in exports of Transport equipment (-16.0%) and imports of Fuels and lubricants (-33.0%) is also noteworthy.

Excluding Fuels and lubricants, there were decreases of 13.6% in exports and 13.1% in imports in March 2024 (+1.8% and +2.9%, respectively, in February 2024).

In March 2024, the unit value indices (prices) continued to record negative rates of change, -2.3% in exports and -3.1% in imports (-3.9% and -6.0%, respectively, in February 2024; +4.4% and -2.3% in March 2023). Excluding petroleum products, there were decreases of 2.2% in exports and 3.5% in imports (-2.9% and -5.6%, respectively, in February 2024; +6.1% and +0.5% in March 2023).

The deficit of the trade balance decreased by EUR 471 million in March 2024, year-on-year, amounting to EUR 1,621 million. Excluding Fuels and lubricants, the deficit amounted to EUR 1,174 million, reflecting a decrease of EUR 129 million.

In the 1st quarter of 2024, exports and imports decreased by 4.2% and 6.3%, respectively, year-on-year (+1.1% and -2.4%, in the same order, in the quarter ended in February 2024).

In March 2024, construction costs for new residential buildings are estimated to have increased by 2.1% on a year-on-year basis, 0.4 percentage points less than in the previous month. The price of materials presented a variation of -1.3% while labor costs rose 6.7%.

According to the results of the 2023 module of the Labour Force Survey on Pensions and Labour Market Participation, around 1,147 thousand people (33.4% of the total number of residents aged 50 to 74) received an old-age pension. The proportions of beneficiaries of old-age pensions in the Autonomous Regions of the Açores (26.3%) and Madeira (25.8%) were significantly lower than the result of 33.7% in the Mainland.

The majority of old-age pensioners (57.5%) reported that they had stopped working when they received their first old-age pension, and 29.3% were no longer working at that time, but 13.2% continued to work when they received their first pension.

Old-age pensioners who continued to work after receiving their first pension did so mainly out of financial necessity (46.5%), the will to remain productive (30.8%) and the need to remain socially integrated (10.9%).

Almost all (98.0%) of old-age pensioners in 2023 received a statutory pension, i.e. paid by a national or foreign public social protection scheme, which, in the national case and depending on the pensioner's professional activity, includes Social Security and the Caixa Geral de Aposentações.

The majority of beneficiaries of a statutory old-age pension (56.8%) received their first old-age pension without any bonus or penalty, while 38.5% left the labour market before securing the right to a full pension, having therefore received a pension with a penalty (reduction in value), and 4.7% benefited from a value bonus for having postponed the age of receipt of the first old-age pension.

91.4% of the population aged 50 to 74 years old not receiving an old-age pension in 2023 reported being entitled in the future to at least one pension from a public pension scheme to guarantee protection in old age, with 78.0% reporting being only entitled to a pension from Social Security or Caixa Geral de Aposentações, and 13.5% to a combination of one of these pensions with an occupational and/or personal pension.

In 2023, around 184 thousand people received a disability pension (5.3% of the total number of residents aged 50 to 74).

The Industry Turnover Index showed a nominal change rate of -11.8% in March (-0.5% in the previous month). Excluding the Energy grouping, turnover change rate shifted from 0.5% in February to -12.5% in March. Domestic market and non-domestic market change rates were -10.5% and -13.9% (-1.5% and 1.1% in the previous month), respectively. These results were partially influenced by the fact that March had fewer three labor days than the same month in 2023. 

In the 1st quarter 2024, industrial turnover year-on-year change rate was -5.4% (-5.3% in the previous quarter). 

Employment and hours worked fell by 0.3% and 9.3% respectively in March, compared with increases of 0.3% and 2.4% respectively in the previous month. Wages and salaries grew by 6.1% (7.6% in February).

In the 1st quarter of 2024, the employed population (5,019.7 thousand people) increased by 0.8% (39.2 thousand) from the previous quarter and by 1.8% (90.2 thousand) from one year before.

The share of the employed population who has teleworked, that is, who has worked from home using information and communication technologies was 19.7% (988.1 thousand people), 1.9 percentage points (pp) more than in the 4th quarter of 2023.

The unemployed population, estimated at 368.2 thousand people, has increased by 3.8% (13.6 thousand) from the previous quarter and decreased by 3.4% (12.9 thousand) from a year earlier.

The unemployment rate stood at 6.8%, 0.2 pp more than in the 4th quarter of 2023 and 0.4 pp less than in the 1st quarter of 2023.

The labour underutilisation covered 646.1 thousand people, having increased by 1.5% (9.3 thousand) from the previous quarter and decreased by 5.0% (33.6 thousand) from a year before. The labour underutilisation rate (11.7%) has increased from the previous quarter (0.1 pp) and decreased from the same quarter of 2023 (0.8 pp).

The inactive population aged 16 and over (3,598.7 thousand people) has increased by 1.7% (61.2 thousand) from the previous quarter and by 1.9% (67.0 thousand) in the year-on-year comparison.

February 2024 (definitive estimates):

• The active population (5,354.5 thousand people) increased from the previous month (1.2 thousand, which corresponds to a nearly null relative change), from three months before (1.1%) and from the same month of 2023 (1.6%).

• The employed population (5,002.2 thousand) decreased from the previous month (1.3 thousand, which corresponds to a nearly null relative change); having increased from November (1.0%) and February 2023 (1,9%).

• The unemployed population (352.3 thousand) increased from the previous month (0,7%) and from three months before (1.7%), having decreased when compared to the same month of the previous years (3.2%).

• The unemployment rate, which stood at 6.6%, increased by 0.1 percentage points (pp) from the previous month and from three months before, but decreased by 0.3 pp from a year earlier.

• The inactive population (2,440.0 thousand) increased from the three periods under comparison: 0.2%, 1.8% and 1.0%, respectively.

• The labour underutilisation rate was estimated at 11.4%, down from the three periods under comparison: 0.1 pp, 0.3 pp and 0.7 pp, respectively.

March 2024 (provisional estimates):

• The active population (5,360.5 thousand) increased from February 2024 (0.1%), December 2023 (1.2%) and from March 2023 (1.6%).

• The employed population (5,013.9 thousand) increased from the three periods under comparison: 0.2%, 1.2% and 2.0%, respectively.

• The unemployed population (346.5 thousand) decreased by 1.6% from February 2024 and by 3.9% from March 2023, having remained unchanged from December 2023.

• The unemployment rate stood at 6.5%, down 0.1 pp from the previous month, remained unchanged from three months before, and down 0.3 pp from a year earlier.

• The inactive population (2,438.7 thousand) decreased from the month before (0.1%) having increased from three months before (1.8%) and from a year earlier (1.3%).

• The labour underutilisation rate stood at 11.4%, the same value from February 2024, decreased from December 2023 (0.2 pp) and from March of the same year (0.6 pp).

Industrial Production year-on-year change rate was 3.5%, in March (0.8% in February). Excluding the Energy grouping, the variation was -4.1% (0.2% in the previous month). Manufacturing Industry year-on-year change rate was -3.1% (0.7% in February). The monthly change rate of the total index was 2.6% (0.3% in the previous month). In the 1st quarter of 2024 the aggregate index increased 1.1% in year-on-year terms (in the 4th quarter of 2023 this change rate was -3.5%).