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Portugal's insolent growth

An example for Brussels

We don't talk about it much, but it's worth pointing out. From a very critical economic situation following the 2008 crisis. We are witnessing a discreet but remarkable recovery, noted by many observers.
A turnaround due to political choices that revitalize a country that was once considered bloodless.
There are encouraging signs of an unlikely recovery. These can be seen as a slap in the face to the austerity cult of Merkel and Brussels, thanks to measures to boost purchasing power.

” …the minimum wage was increased in 2016 and again in 2017. At the same time, employer contributions were cut from 23 to 22%. Finally, the government has not skimped on the plan to boost purchasing power: higher pensions and family allowances, stronger labor laws, lower taxes for the most modest salaries, a complete halt to privatizations... 

Portugal's growth rate exceeded Germany's in 2015-2016, and will probably do so again in 2017. While trade surpluses still worry Brussels, Germany is now asking questions.

To round things off, Portugal has realized that it's no longer worth trying to compete with low-cost Eastern European countries. So we've moved upmarket, both in industry and tourism. France should take a leaf out of our book: moving upmarket and stimulating demand. In conjunction with a simple reduction in business costs...

Portugal, which has come a long way, is setting an example.

An anti-austerity policy that is working, despite the fact that the situation is still not very good.

Over the past 2 years, Portugal has demonstrated that a policy - the opposite of austerity policies. And therefore based on demand-led recovery and improved social protection - could work. The IMF had already confirmed this in 2016. Announcing that "austerity is not working in Greece….

We're cleaning up.

The years of nightmare are over for a country that was in a quasi war economy. Some cases seem forgotten.

Admittedly, the patient has not yet been definitively cured, but recovery is well underway, with a growth rate that has neighboring countries dreaming.
An example for France in many ways:
The end of the austerity policy, which has led to a economic miracle without tourism, which is flourishing, having become the determining factor.

...According to Economy Minister Manuel Caldeira Cabral, Portugal is finally free from the shackles of austerity policy. By reassuring citizens that they would no longer suffer cuts to their pensions or allowances. And by allowing wages to rise, the government has won back the confidence of businesses and investors alike. In the last quarter. Investments increased by 10 %. Exports by 9 %, higher than in the Netherlands and Germany. The revival of an industry left for dead..."



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