Lisbon, July 18, 2025 (Lusa) - The Portuguese economy posted an external surplus of €1.182 billion in May, representing a 56.7% decrease compared to the same period last year, according to data released today by the Bank of Portugal (BdP).

According to central bank data, the year-on-year decrease of around €1.546 billion highlights that, in nominal terms, this was the second highest surplus for May in the entire series.

This change resulted from an increase of around €2 billion in the goods balance deficit, which import growth (up €1.8 billion) and slower export growth (€235 million less) aggravated.

At the same time, the primary income deficit, resulting from a reduced allocation of European Union (EU) funds to subsidies (minus €264 million), contributed to an increase of €217 million.

Up to May, the services balance surplus grew by €759 million, “mainly due to the evolution of the balance of travel and tourism (+€411 million) and technical services related to trade and other services provided by companies (+€170 million)”.

The financial balance thus stood at €689 million in May this year, resulting from the Portuguese economy’s financing capacity.

According to the regulator, non-monetary financial institutions, except insurance companies and pension funds, were the sector that contributed most to this balance, largely due to the reduction in capital liabilities and debt securities held by non-residents.

Conversely, the ‘central bank’ sector saw the largest reduction in net foreign assets, given the increase in liabilities in deposits.

JO/ADB // ADB.

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