Europe leads increased foreign investment in Portugal

19 July 2006

Brussels, Belgium, 19 July – Direct Foreign Investment (DFI) in Portugal climbed from euros 1.9 billion in 2004 to euros 2.6 billion in 2005, with European countries compensating for falling investments from the rest of the world, according to figures published Tuesday by Eurostat.

The EU’s statistics agency also recorded a sharp drop in Portuguese direct foreign investment from euros 6.4 billion in 2004 to euros 1 billion last year.

Lisbon’s EU partners were mainly responsible for DFI into Portugal last year, accounting for euros 3 billion. Other countries, particularly the United States, reduced their investments in Portugal in the same period by 0.4 billion.

Portugal’s DFI was euros 1.7 billion in EU states (5.4 billion in 2004) and Lisbon reduced its investments in other countries by euros 0.7 million to euros 1 billion.

The UK, France and Luxembourg are the main “actors” in DFI flows in third countries and the Netherlands and Britain are the main beneficiaries of DFI within the EU. (macauhub)