Portugal Forecasts Strong Surplus, Outpaced in Eurozone by Only Two Nations
Portugal is projecting a robust budgetary surplus for the coming years, trailing only Cyprus and Latvia among Eurozone countries, according to draft Budgetary Plans submitted to Brussels. The country’s debt levels, while declining, remain a concern at 86.2%, alongside Germany (69.25%), Slovakia (64.7%) and Slovenia (62.8%).
This financial health is set against a backdrop of projected economic growth of 2.3% for 2026, placing Portugal as the fifth-highest growing economy in the Eurozone, exceeded by Malta (4.1%), Cyprus (3.1%), Estonia (2.5%) and Greece (2.4%). The data underscores a varied economic landscape within the Eurozone, with some nations grappling with debt and stagnation while others anticipate significant growth and fiscal stability.
Cyprus, Latvia, the Netherlands, Malta, Lithuania, Ireland, Luxembourg and estonia are currently compliant with Brussels’ debt rules, with Estonia, Lithuania, and Luxembourg even projecting debt levels below 40%. Austria is the only Eurozone country anticipating a recession this year (-0.3%), while Germany expects no growth (0%). ireland, however, forecasts an exceptional 10.8% growth in 2025, combining this with a budgetary surplus and a debt around 30%.
