The distinction from The Economist magazine was, in itself, great news for Portugal. Especially from an external perspective, it is a medal that gives international prestige to our economy and attracts the attention of the markets, reinforcing the attraction of investment. But it is advisable, as Minister Castro Almeida did, not to fly in the face, given that this is an analysis that is too cyclical and does not reflect the national economic reality in the long term.
Not even on purpose, and functioning almost like the English magazine’s Nemesis, INE published, in the middle of the month, two studies that demonstrate the structural weaknesses that our economy has faced for decades. In the first case, it is an analysis of GDP per capita in 2024, expressed in Purchasing Power Parities (ppc), which places our country in 18th position, with 82.4% of the European average. The rate reflects an interesting increase (1.3%) compared to 2023, but still very close to the 1995 values (81.2%), which confirms the stagnation in the living conditions of the Portuguese over the last 30 years and denies a real convergence with the EU.
The second INE study expresses another structural concern in our country: the lack of territorial cohesion. Once again, Greater Lisbon is the only region that compares favorably with the European average in the GDPppc indicator (128.9%), while the North stands at 70.8%, the Algarve at 89.2% and Madeira at 88.3%. Even internally, despite a slight shortening of distances, the metropolitan region of the capital is almost 57% away from the national average in GDP per capita, reflecting the enormous existing imbalances.
Without detracting from The Economist’s analysis, these indicators reflect a more realistic image of Portugal: an economy marked by a lack of competitiveness and structural backwardness that exists in several regions, where disposable income and family consumption are closer to Albania than to Lisbon. It is important to discuss this seriously, avoiding ideological anathemas – such as the recent debate on the labor package – which only serve to perpetuate inequalities and install immobility in our society.
If I can formulate an economic wish for 2026, let it be this: to live in a more competitive, less unequal country and closer to Europe. That would be the prize that would make the difference.