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Portugal

Portugal Economy Stats

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Author: jaacosta47

Portugal is coming out from the agonizing economic restrictions inflicted by a three-year economic rescue program that saved the country from downfall. Officials of the Economic Union have advised that rigid controls must be put in place to create stable employment. Portugal is the second euro zone country after Ireland to get out of the austerity and supervision required by the EU and International Monetary Fund. The most recent economic indicators have tainted to a certain extent the image of a country which has left the crisis behind.

Portugal's gross domestic product (GDP) dropped by 0.7percent during the first quarter even as the euro-zone GDP increased by only 0.2 percent based on statistics provided by the EU's statistical unit. Recovery seemed to be under way since the second quarter of 2013 when Portugal had the fastest growth in the Union. However, exports faltered while various private companies responded to plummeting domestic demand by looking overseas or seeking out non-EU markets while the rest of Europe declined.

The economy minister of Portugal (Antonio Pires de Lima) said that Portugal was on the right track in terms of economic growth and cutting unemployment because of the three essential motors. These are exports, private consumption and investment. Portugal emerged from its longest recession in 25 years during the second quarter of 2013. On the other hand, Prime Minister Pedro Cassos Coelho is trying hard to recover complete access to debt markets with the end of the country’s $107 billion bailout approaching in May. It is still necessary to cut spending by 3.2 billion euro in 2014 to meet targets in the European Union-led aid program after depending mostly on tax increases in 2013.

Overview:

Portugal has become a diversified and increasingly service-based economy since joining the European Community in 1986. Over the past two decades, successive governments have privatized many state-controlled firms and liberalized key areas of the economy, including the financial and telecommunications sectors. The country qualified for the European Monetary Union (EMU) in 1998 and began circulating the euro on 1 January 2002 along with 11 other EU member economies. Economic growth had been above the EU average for much of the 1990s, but fell back in 2001-08, shrank 2.6% in 2009, before growing 1% in 2010. GDP per capita stands at roughly two-thirds of the EU-27 average. A poor educational system and a rigid labor market have been obstacles to greater productivity and growth. Portugal also has been increasingly overshadowed by lower-cost producers in Central Europe and Asia as a target for foreign direct investment. Portugal's competitiveness problems, low growth prospects, and high levels of public debt have made it vulnerable to bond market turbulence. Lisbon is implementing austerity measures to reduce the budget deficit from 9.4% of GDP in 2009 to 4.6% of GDP in 2011, but some investors have expressed concern about Portugal's ability to achieve these targets and cover its sovereign debt. Without the option for stimulus measures, the government is focusing instead on boosting exports and implementing labor market reforms to try to raise GDP growth and tackle Portugal's competitiveness problems, which may help mitigate investor concerns over time.

Definitions

  • Budget > Revenues: Revenues calculated on an exchange rate basis, i.e., not in purchasing power parity (PPP) terms
  • Budget surplus > + or deficit > -: This entry records the difference between national government revenues and expenditures, expressed as a percent of GDP. A positive (+) number indicates that revenues exceeded expenditures (a budget surplus), while a negative (-) number indicates the reverse (a budget deficit). Normalizing the data, by dividing the budget balance by GDP, enables easy comparisons across countries and indicates whether a national government saves or borrows money. Countries with high budget deficits (relative to their GDPs) generally have more difficulty raising funds to finance expenditures, than those with lower deficits.
  • Debt > Government debt > Public debt, share of GDP: Public debt as % of GDP (CIA).

    No date was available from the Wikipedia article, so we used the date of retrieval.

  • Exports: This entry provides the total US dollar amount of merchandise exports on an f.o.b. (free on board) basis. These figures are calculated on an exchange rate basis, i.e., not in purchasing power parity (PPP) terms.
  • GDP: GDP at purchaser's prices is the sum of gross value added by all resident producers in the economy plus any product taxes and minus any subsidies not included in the value of the products. It is calculated without making deductions for depreciation of fabricated assets or for depletion and degradation of natural resources. Data are in current U.S. dollars. Dollar figures for GDP are converted from domestic currencies using single year official exchange rates. For a few countries where the official exchange rate does not reflect the rate effectively applied to actual foreign exchange transactions, an alternative conversion factor is used.
  • GDP > Composition by sector > Industry: The gross domestic product (GDP) or value of all final goods produced by the industrial sector within a nation in a given year. GDP dollar estimates in the Factbook are derived from purchasing power parity (PPP) calculations. See the CIA World Factbook for more information.
  • GDP > Per capita: This entry gives the gross domestic product (GDP) or value of all final goods and services produced within a nation in a given year. A nation's GDP at purchasing power parity (PPP) exchange rates is the sum value of all goods and services produced in the country valued at prices prevailing in the United States. This is the measure most economists prefer when looking at per-capita welfare and when comparing living conditions or use of resources across countries. The measure is difficult to compute, as a US dollar value has to be assigned to all goods and services in the country regardless of whether these goods and services have a direct equivalent in the United States (for example, the value of an ox-cart or non-US military equipment); as a result, PPP estimates for some countries are based on a small and sometimes different set of goods and services. In addition, many countries do not formally participate in the World Bank's PPP project that calculates these measures, so the resulting GDP estimates for these countries may lack precision. For many developing countries, PPP-based GDP measures are multiples of the official exchange rate (OER) measure. The difference between the OER- and PPP-denominated GDP values for most of the weathly industrialized countries are generally much smaller. Per capita figures expressed per 1 population.
  • GDP > Per capita > PPP: This entry shows GDP on a purchasing power parity basis divided by population as of 1 July for the same year.
  • GDP > Purchasing power parity per capita: This entry gives the gross domestic product (GDP) or value of all final goods and services produced within a nation in a given year. A nation's GDP at purchasing power parity (PPP) exchange rates is the sum value of all goods and services produced in the country valued at prices prevailing in the United States. This is the measure most economists prefer when looking at per-capita welfare and when comparing living conditions or use of resources across countries. The measure is difficult to compute, as a US dollar value has to be assigned to all goods and services in the country regardless of whether these goods and services have a direct equivalent in the United States (for example, the value of an ox-cart or non-US military equipment); as a result, PPP estimates for some countries are based on a small and sometimes different set of goods and services. In addition, many countries do not formally participate in the World Bank's PPP project that calculates these measures, so the resulting GDP estimates for these countries may lack precision. For many developing countries, PPP-based GDP measures are multiples of the official exchange rate (OER) measure. The difference between the OER- and PPP-denominated GDP values for most of the weathly industrialized countries are generally much smaller. Figures expressed per capita for the same year.
  • GDP per capita: GDP at purchaser's prices is the sum of gross value added by all resident producers in the economy plus any product taxes and minus any subsidies not included in the value of the products. It is calculated without making deductions for depreciation of fabricated assets or for depletion and degradation of natural resources. Data are in current U.S. dollars. Dollar figures for GDP are converted from domestic currencies using single year official exchange rates. For a few countries where the official exchange rate does not reflect the rate effectively applied to actual foreign exchange transactions, an alternative conversion factor is used. Figures expressed per capita for the same year.
  • Gross National Income: GNI, Atlas method (current US$). GNI (formerly GNP) is the sum of value added by all resident producers plus any product taxes (less subsidies) not included in the valuation of output plus net receipts of primary income (compensation of employees and prop).
  • Inflation rate > Consumer prices: This entry furnishes the annual percent change in consumer prices compared with the previous year's consumer prices.
  • Population below poverty line: National estimates of the percentage of the population lying below the poverty line are based on surveys of sub-groups, with the results weighted by the number of people in each group. Definitions of poverty vary considerably among nations. For example, rich nations generally employ more generous standards of poverty than poor nations.
  • Public debt: This entry records the cumulatiive total of all government borrowings less repayments that are denominated in a country's home currency. Public debt should not be confused with external debt, which reflects the foreign currency liabilities of both the private and public sector and must be financed out of foreign exchange earnings.
  • Unemployment rate: This entry contains the percent of the labor force that is without jobs. Substantial underemployment might be noted.
STAT AMOUNT DATE RANK HISTORY
Budget > Revenues $87.36 billion 2013 35th out of 223
Budget surplus > + or deficit > - -6.5% of GDP 2012 154th out of 182
Debt > Government debt > Public debt, share of GDP 123.6 CIA 2014 9th out of 153
Exports $58.24 billion 2012 54th out of 189
GDP $212.45 billion 2012 43th out of 177
GDP > Composition by sector > Industry 22.6% 2012 138th out of 217
GDP > Per capita $21,826.89 per capita 2007 41st out of 183
GDP > Per capita > PPP $23,000.00 2012 44th out of 188
GDP > Purchasing power parity per capita $23,220.08 2010 39th out of 181
GDP per capita $20,182.40 2012 36th out of 177
Gross National Income $109.00 billion 2001 31st out of 158
Inflation rate > Consumer prices 2.8% 2012 127th out of 199
Population below poverty line 18% 2006 19th out of 29
Public debt 123.6% of GDP 2012 9th out of 149
Unemployment rate 15.7% 2012 18th out of 112

SOURCES: CIA World Factbooks 18 December 2003 to 28 March 2011; CIA World Factbooks 2010, 2011, 2012, 2013; Wikipedia: List of countries by public debt (List) (Public debt , The World Factbook , United States Central Intelligence Agency , accessed on March 21, 2013.); World Bank national accounts data, and OECD National Accounts data files.; CIA World Factbook 2010, 2011, 2012, 2013; CIA World Factbooks 18 December 2003 to 28 March 2011. Population figures from World Bank: (1) United Nations Population Division. World Population Prospects, (2) United Nations Statistical Division. Population and Vital Statistics Report (various years), (3) Census reports and other statistical publications from national statistical offices, (4) Eurostat: Demographic Statistics, (5) Secretariat of the Pacific Community: Statistics and Demography Programme, and (6) U.S. Census Bureau: International Database.; World Bank national accounts data, and OECD National Accounts data files. Population figures from World Bank: (1) United Nations Population Division. World Population Prospects, (2) United Nations Statistical Division. Population and Vital Statistics Report (various years), (3) Census reports and other statistical publications from national statistical offices, (4) Eurostat: Demographic Statistics, (5) Secretariat of the Pacific Community: Statistics and Demography Programme, and (6) U.S. Census Bureau: International Database.; CIA World Factbooks 18 December 2003 to 28 March 2011

Citation

"Portugal Economy Stats", NationMaster. Retrieved from http://www.nationmaster.com/country-info/profiles/Portugal/Economy

NationMaster

Portugal Economy Profiles (Subcategories)

Adjusted savings 3 Innovation 38
Aid 6 Interest payments 3
Balance of payments 28 International tourism 13
Budget 10 Investment 3
Business 8 Labor force 3
Changes in net 4 Market capitalization of listed companies 4
Commercial service 4 Merchandise 4
Commercial service imports 4 Merchandise imports 4
Commitment to Development Index 4 Micro 4
Companies 34 National accounts 104
Consumption 10 Natural gas 8
Currency 15 Net capital account 4
Current account balance 5 Net current transfers 4
Current transfers 4 Net current transfers from abroad 6
Debt 52 Net errors and omissions 4
Economic aid 3 Net income 4
Economic growth 8 Net income from abroad 6
Economic structure 4 Net incurrence of liabilities 3
Electricity 8 Net trade in goods 4
Entrepreneurship 12 Net trade in goods and services 4
Exports 3 Oil 10
External balance on goods and services 7 Portfolio investment 4
Final 20 Poverty and inequality 6
Financial sector 26 Productivity 7
Foreign direct investment 14 Public expenditure 4
GDP 42 Purchasing power parity 11
GDP growth 4 Reserves 6
GDP per capita 4 Retail 3
GNI 12 Royalty and license fees 8
Goods 4 Savings 44
Goods imports 4 Service 4
Government 13 Service imports 4
Government debt 8 Services 10
Government deficits and debt 4 Spending 73
Government spending 5 Stock of direct foreign investment 6
Gross capital formation 10 Stocks traded 5
Gross domestic savings 6 Support and aid 4
Gross fixed capital formation 10 Tax 76
Gross national expenditure 9 Taxes 3
Gross savings 6 Total 9
Gross value added at factor cost 9 Tourism 21
High-technology 4 Tourism expenditures 5
Household final 23 Tourism receipts 5
Income 24 Tourist arrivals by region of origin 8
Income distribution 4 Trade 1622
Income payments 4 Trademark applications 4
Income receipts 4 Transnational corporations 4
Inequality 13 Welfare 5
Inflation 10
  • Portugal ranked first for debt > banks > automated teller machines > ATMs > per 100,000 adults amongst Europe in 2012.
  • Portugal ranked third for unemployment rate amongst High income OECD countries in 2012.
  • Portugal ranked 11 places from the bottom for GDP per capita amongst European Union in 2012.
  • Portugal ranked #25 for GDP amongst Christian countries in 2012.
  • Portugal ranked third last for GDP > per capita > PPP amongst Eurozone in 2012.
  • Portugal ranked second last for GDP > real growth rate amongst Catholic countries in 2012.
  • Portugal ranked 8th last for GDP > composition by sector > industry amongst NATO countries in 2012.

2

Portugal is coming out from the agonizing economic restrictions inflicted by a three-year economic rescue program that saved the country from downfall. Officials of the Economic Union have advised that rigid controls must be put in place to create stable employment. Portugal is the second euro zone country after Ireland to get out of the austerity and supervision required by the EU and International Monetary Fund. The most recent economic indicators have tainted to a certain extent the image of a country which has left the crisis behind.

Portugal's gross domestic product (GDP) dropped by 0.7percent during the first quarter even as the euro-zone GDP increased by only 0.2 percent based on statistics provided by the EU's statistical unit. Recovery seemed to be under way since the second quarter of 2013 when Portugal had the fastest growth in the Union. However, exports faltered while various private companies responded to plummeting domestic demand by looking overseas or seeking out non-EU markets while the rest of Europe declined.

The economy minister of Portugal (Antonio Pires de Lima) said that Portugal was on the right track in terms of economic growth and cutting unemployment because of the three essential motors. These are exports, private consumption and investment. Portugal emerged from its longest recession in 25 years during the second quarter of 2013. On the other hand, Prime Minister Pedro Cassos Coelho is trying hard to recover complete access to debt markets with the end of the country’s $107 billion bailout approaching in May. It is still necessary to cut spending by 3.2 billion euro in 2014 to meet targets in the European Union-led aid program after depending mostly on tax increases in 2013.

Posted on 25 May 2014

jaacosta47

jaacosta47

423 Stat enthusiast