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The Bank of Portugal has highlighted the "important contribution" of tourism exports to output and employment and to maintaining the economy’s capacity to finance growth.
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The Algarve mountain region of Monchique looks set for serious investment to be made in it after it was announced that Monchique council has approved “the biggest and most important” municipal budget in recent years, coupled with news that a recently-formed consortium is to buy the Caldas springs and has over 10 million euros to plough into its development.
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Portuguese banks will benefit from the real estate market conditions, and the rising prices are "credit positive" according to Moody's.
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Further investment in the Algarve has been announced by the CRESC 2020 Regional Operational Programme of the Algarve, with the investment being used to help improve infrastructure, energy efficiency and employment.
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The European Stability Mechanism said on Tuesday it had decided to approve the waiver on Portugal's early repayment of the European Financial Stability Facility (EFSF) loan, thus allowing the coountry to complete early repayment of its loan from the International Monetary Fund (IMF).