Portugal’s economic performance has received further international recognition after Canadian credit ratings agency DBRS upgraded the country’s outlook from “stable” to “positive”.
The move marks the third ratings outlook improvement for Portugal in less than six months, following similar upgrades by Fitch and Standard & Poor’s (S&P), reinforcing growing international confidence in the country’s economic outlook and investment environment.
Despite wider economic uncertainty across Europe and ongoing geopolitical pressures, Portugal has continued to strengthen its public finances while maintaining steady economic growth.
DBRS highlighted Portugal’s continued progress in reducing public debt, noting that the country’s debt-to-GDP ratio fell below 90% in 2025 for the first time since 2009 — a milestone widely viewed as a significant achievement for the Portuguese economy.
The ratings agency also cited prudent fiscal management and favourable economic growth dynamics as key factors behind the improved outlook.
Portugal ended 2025 with a budget surplus of 0.7%, outperforming expectations, while the economy expanded by close to 2%. The country was also named “Economy of the Year” by The Economist magazine at the end of 2025.
Finance minister Joaquim Miranda Sarmento said the recognition reflected the combined efforts of families, businesses and government to build “a more resilient and less indebted economy”.
Portugal’s sovereign rating remains at “A (high)”, with all major international ratings agencies now placing the country firmly within the A category — among the strongest positions Portugal has held in recent decades.
The latest upgrades are expected to further strengthen Portugal’s appeal among international investors, particularly at a time when global investors continue to seek politically stable and economically resilient destinations with long-term growth potential.
Portugal’s improving fiscal indicators, strong tourism sector, growing international business activity and continued foreign direct investment have helped position the country as one of Europe’s most attractive investment destinations.
The positive outlook revisions are also expected to support lower borrowing costs, strengthen market confidence and reinforce Portugal’s reputation as a safe and strategic location for international capital.
Paul Stannard, chairman and founder of Portugal Pathways and the Portugal Investment Owners Club, said: “This latest economic rating upgrade comes amid high levels of interest in Portugal from international investors across sectors including real estate, technology, renewable energy, tourism, and, of course, the Golden Visa residency-by-investment programme.
“We’re seeing more high-net-worth individuals and investors looking to Portugal as an opportunity to diversify their portfolios and secure a real ‘plan B’ amid global uncertainty.”
About Portugal Investment Owners Club
The Portugal Investment Owners Club, or P Club for short, is a unique investor membership community designed for discerning individuals, families, and organisations committed to exploring and capitalising on life in Portugal and enjoying money-can't-buy experiences and exclusive events.
About Portugal Pathways
Portugal Pathways has supported hundreds of Golden Visa residency-by-investment applications and provides expert guidance through its professional supply chain network on estate planning, wealth management, Golden Visa and tax optimisation, including post-NHR / IFICI tax regime planning, as well as private healthcare, money transfers and bespoke relocation and luxury real estate solutions to enhance life and investment in Portugal
Disclaimer: The information on the Portugal Pathways and Portugal Investment Owners Club (P Club for short) websites and in email communications is for general informational purposes only and should not be construed as legal, tax, or financial advice. You should consult and check with a qualified professional advisor before relying on any information provided on this website or in email communications. As it relates to investments in Golden Visas or other wealth management solutions offered by regulated and professional advisors, it is important to note that past performance is no guarantee of future returns. Private equities can be highly illiquid and come with risk and should always be under professional independent advice. Golden Visa investments need to be held for 6 to 7 years to allow for permanent citizenship/passport in the EU.
