67
67

BUILDING INVESTMENT REGISTERS THE HIGHEST INCREASE SINCE 2002

1 June 2017

Building investment registered an increase of 8.5% over the same period last year, the highest positive variation in the last 15 years.

The numbers were provided by the Portuguese Confederation of Construction and Real Estate – CPCI, which, according to INE’s quarterly national accounts, shows the impact of building investment on the 2.8% GDP growth. In a statement, the Confederation noted that construction “represents 50.5% of total investment in the economy.”

The highlight was the increase of 8.5% in the first quarter of 2017 compared to the same period in 2016 and a growth of 5% compared to the previous quarter. Encouraging figures accompanied by news of the creation of 23,045 net new jobs in the first quarter of this year alone.

The CPCI considers that these figures reflect not only the stabilization of the economy, but also trends in the Portuguese real estate market and the increasing impact of private investment.

For Reis Campos, President of the CPCI, “we have to take advantage of this moment to fortify Portuguese business and employment growth.” The president of CPCI also stresses the need to “streamline strategic areas” such as urban rehabilitation, foreign investment in national real estate and business investment. Reis Campos also emphasizes the importance of strengthening public investment that currently “remains at historically low levels.”

For Campos, the creation and implementation of financing mechanisms, namely the Programa ‘Casa Eficiente’ [Efficient House Program], the correct implementation of Portugal 2020 and other European funds such as the Juncker Plan and the Connecting Europe Facility are “decisive steps“. Ensuring the effectiveness of the Golden Visas Program and the Non-Resident Taxation Scheme is also important.

Original Story: Vida Imobiliária – Fernanda Cerqueira

Translation: Richard Turner