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ECONOMY

Sources: InstitutoNacional de Estatistica (INE): 2017 CBRE estimate

PORTUGAL'S REAL ESTATE MARKET - Total investment levels across all sectors of the Portuguese real estate market reached EUR30 billion in the last year, representing an annual increase of 20% and an incredible 80% growth since 2014. All real estate investment made in the country between 2014-2018 combine to total EUR100 billion.

Foreign buyers invested approximately EUR20 billion in Portuguese residential property between 2014-2018, assisting to not only reinvigorate multiple Portuguese cities, but to also encourage growth of the entire economy.

„ Portugal's recovery is well entrenched

Year

A n

n u

al % ch

an g

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The strong increase in job creation in 2017 and 2018 substantially improved the country's labour market performance. As well as a decrease in headline unemployment, long-term and youth unemployment rates have also dramatically lowered.

Portugal s residential market has seen an increase in demand through foreign investor activity, mainly driven by two government initiatives: the Non-Habitual Residents Tax Regime, introduced in 2009, and the Residence Permit for Investment Activity ( Golden Visa ) in 2012. The domestic market is also returning. Local investor confidence and appetite is increasing as a result of the country's sustained economic growth, reduction in unemployment and more competitive mortgage conditions.

Sources: Santander Trade, OECD, knight Frank

„ Residential Completions and Sales in Portugal

The Portuguese economy continues to maintain momentum, driven by private and public spending as well as the sustained fall in unemployment levels.

PORTUGAL'S ECONOMY -

GDP

1.9% Private consumption

1.8%

Exports

3.5%

Investment

3.7%

Economic forecast 2019 Employment indication 2019

Unemployment rate

7.1%

Job creation

+2.3%

Residential Completions Residential Sales