Portugal's Immigration Shift In Focus

The Portuguese Agency for Integration, Migration and Asylum (AIMA) is expediting its review process to tackle the backlog of 450,000 immigration files. Minister of the Presidency, António Leitão Amaro, outlined this revision effort, citing data from AIMA’s interim report on Portugal’s foreign population.

Amaro noted that the immigrant population in Portugal was just over 400,000 in 2017. By 2024, this number had increased fourfold to 1.1 million. Over seven years, the share of foreign residents in Portugal rose from 4% to 15% of the total population. Both AIMA’s report and Amaro’s comments highlight Portugal’s growing appeal as a destination for international residents and investors.

From Get Golden Visa’s standpoint as a leading market entity in Portugal, this migration trend can be interpreted as follows: Amid global geopolitical uncertainties and economic challenges, people are seeking stable and secure environments for living and investing. In this context, Portugal stands out as a preferred destination.

This insight report examines the scope of the planned reforms and explores the new dynamics and potential sectoral impacts resulting from the increasing foreign population.

Our year-long analyses clearly show that 2023 marked a pivotal moment in residence permits and Golden Visa applications in Portugal. According to AIMA’s September report, the number of legally residing foreigners increased by 33.6% in 2023, reaching 1,044,606 by the end of the year.

Portugal has experienced a significant demographic shift between 2017 and 2024, becoming one of Europe’s most dynamic migration landscapes. As of 2024, the foreign resident count has reached nearly 1.6 million, representing 15% of the total population. This demographic change supports the sustainability and dynamism of Portugal’s investment environment. We can analyze the impact of this shift under three main themes:

A Diversified Investor Profile and Rising International Appeal

Portugal now hosts a diverse range of international residents, including digital nomads, retirees, tech investors, and entrepreneurs. U.S. citizens are leading in Digital Nomad Visa applications. As of 2024, there are an estimated 40 million digital nomads globally, 46% of whom are American. In 2023, 22.4% of Portugal’s Digital Nomad Visas were issued to Americans, and this trend has persisted into 2024. With robust internet infrastructure and high quality of life, Portugal remains a highly attractive destination for this mobile workforce. This diversity in investor profile highlights Portugal’s multi-faceted and sustainable investment climate.

Portugal Golden Visa Investment Applications in Numbers

• In 2023, the number of US investors surged by 162.5%, from 216 to 567.

• Family applications increased by 83%, reaching 2,901.

• Individual applications rose from 1,281 to 1,554.

• UK investors numbered 234, ranking third among nationalities.

• Interest driven by tax incentives and high quality of life.

• US and UK demand led the surge, indicating a trend shift in investment migration.

The ‘Brazil Effect’ in Portugal

The Brazilian community remains the largest group of foreign residents, accounting for 35.3% of the total foreign population. This reflects strong historical, cultural, and linguistic ties between the two countries.

Portugal as a ‘Second Life Destination’

Besides Brazil, the number of residents from South American and African countries is also rising. These groups increasingly view Portugal as an attractive second-home destination.

Investment Opportunities in Real Estate, Education, Healthcare, and Services

The growth in the foreign population is driving expansion in housing, education, private healthcare, and consumer markets. In 2023, foreign workers contributed €2.7 billion to the Portuguese social security system, helping finance 17% of national pensions. In 2024, this contribution grew to €3.654 billion, representing 12% of the total €29 billion in social security revenues. Amaro highlighted that the number of foreigners contributing to social security increased from 244,000 in 2017 to 1 million in 2024—a fourfold rise. These changes have resulted in more people working, producing goods and services, increasing school enrollments, and supporting demographic renewal.