Portuguese companies forecast slight economic improvement

Portuguese companies anticipate a slight improvement in economic activity during the second half of 2026, following a difficult first semester. According to a survey by the Associação Empresarial de Portugal (AEP) involving 400 business owners, 53.9% of companies expect an increase in domestic turnover, with 51.3% forecasting slight growth and 2.6% expecting significant increases.

On the international market, expectations have also improved, though more moderately; 30.8% of companies expect to increase their business volume in the second half of the year, compared to 25.7% in the first semester. However, 28.2% of businesses still anticipate a decline in international activity.

AEP Chairman Luís Miguel Ribeiro noted that while the outlook is positive after a period of strong adversity, the results should be viewed with caution. He highlighted that the business fabric is showing resilience against internal and external pressures, such as geopolitical instability and the costs of energy and raw materials.