Portugal Ministry of Economy targets shell stores used for illegal immigration

The Portuguese Ministry of Economy is evaluating measures to combat “shell stores” used as fronts for illegal immigration networks and human trafficking. These establishments often pay high monthly rents, sometimes between 8,000 and 10,000 euros, despite their apparent commercial activity not justifying such costs.

In Lisbon and Porto, municipal leaders are pressuring the central government to revise current licensing regimes. Lisbon Mayor Carlos Moedas has criticized the “Licenciamento Zero” policy, arguing it has stripped local authorities of the tools needed to prevent the excessive concentration of specific businesses in certain streets. Similarly, Porto Mayor Pedro Duarte has noted that some souvenir shops and other businesses act as facades for activities including the housing of people in degrading conditions.

The government intends to reconcile a planned reform of business licensing, expected this autumn, with mechanisms that grant municipal councils greater intervention capacity in highly pressured urban areas.