Portugal’s Travel & Tourism Sector Enters a Golden Era of Growth

Lisbon, Portugal – Portugal’s Travel & Tourism industry is experiencing an unprecedented boom, with new data from the World Travel & Tourism Council (WTTC) showing that the sector is not only recovering from the pandemic-era slump but has soared past all previous records. According to the latest Economic Impact Research (EIR), prepared in collaboration with Oxford Economics, 2025 is shaping up to be another record-setting year.

2025: A Landmark Year in the Making

The WTTC projects that Portugal’s Travel & Tourism sector will contribute a staggering €62.7 billion to the national economy this year. That accounts for 21.5% of Portugal’s GDP, marking a 38% increase over the industry’s pre-pandemic peak in 2019. The numbers underscore a transformative shift — tourism is no longer a supporting player in Portugal’s economy, but a leading force.

The sector is also expected to support 1.2 million jobs, or nearly one in four roles across the country. This represents a surge of 200,000 jobs compared to the sector’s last employment peak.

Visitor Spending Reaches New Heights

International visitors are projected to spend €33.1 billion in Portugal in 2025, while domestic tourism is expected to contribute €22.9 billion. Compared to 2019, this represents growth of 24.2% in international and 59.5% in domestic tourism — highlighting robust demand from both foreign and local travelers.

Reflecting on 2024: A Record-Breaking Year

The remarkable 2025 forecasts are built on the foundation of an exceptional 2024. Last year, Portugal’s Travel & Tourism sector generated €60.6 billion, equivalent to 21.3% of GDP, and supported 1.2 million jobs, or around 23% of national employment.

Spending also hit record highs in 2024:

• €31.8 billion from international visitors
• €22.2 billion from domestic travelers

These figures reflect a strong rebound and growth trajectory that exceeded all post-pandemic expectations.

Looking Ahead: 2035 and Beyond

WTTC’s long-term outlook for Portugal’s tourism industry is equally optimistic. By 2035, the sector is forecast to:

• Contribute €74.6 billion to GDP
• Account for 22.6% of the national economy
• Support 1.4 million jobs
• Attract €40.6 billion in international spending
• Generate €25.8 billion from domestic tourism

These projections cement Travel & Tourism as a cornerstone of Portugal’s economic future and a driver of sustainable development and job creation.

Portugal in the European Context

The tourism boom in Portugal mirrors a broader upward trend across the European Union. In 2024:

• The EU Travel & Tourism sector contributed €1.8 trillion to regional GDP
• This equated to more than 10% of the EU’s total economy
• The industry supported 24.6 million jobs, or one in nine roles in the EU

Looking ahead to 2025, the WTTC forecasts:

• Sector GDP to rise to €1.9 trillion (10.5% of the EU economy)
• Employment to reach 25.7 million jobs, or 12% of total employment in the bloc

Final Thoughts

Portugal’s travel sector is not just bouncing back — it’s breaking boundaries. With strong government support, private sector innovation, and increasing traveler interest, the country is entering a golden era for tourism.

The years ahead promise even greater potential, provided that growth is managed sustainably and equitably. With international admiration for its culture, heritage, natural beauty, and hospitality, Portugal is not just a destination — it is becoming a global tourism powerhouse.