Country Overview
Portugal’s regulatory frameworks and permit system support the creation of new businesses and provide strong protections for investors against insolvency. Combined with high quality procurement processes and a stable financial system, this environment helps attract investment in infrastructure. Despite an improvement in funding capacity from InfraCompass2017, Portugal’s sluggish GDP growth, significant public debt and the potential economic fallout from the COVID-19 pandemic may hinder future infrastructure expenditure.
See Full Overview Data
GDP per capita
24,296 USD
Population
10.3 million persons
Infrastructure quality
83.6 (0-100 best)

Driver Overview

This section shows a country’s rank, ranking change and score for each of the eight drivers. It also categorises each country’s driver performance on a scale from “Emerging” (score from 0-20) to “Global Leader” (score from 80-100).

Driver
Rank
Score /100
Emerging Aspiring Contender Top performer Global Leader
19
1
71.9
19
7
82.1
39
3
73.7
19
13
86.5
45
23
31.7
- No ranking change Ranking increase Ranking decrease

Rank

Score /100

Best practice

19
1
71.9
Top performer
19
1
71.3
Top performer
19
7
82.1
Top performer
39
3
73.7
Contender
19
13
86.5
Top performer
45
23
31.7
Contender
28
15
47.0
Top performer
26
3
44.1
Top performer

Metric Overview

Strengths

Cost to start a business

According to the World Bank, the cost of starting a business in Portugal is 1.9% of income per capita, well below the High Income Countries’ average of 4.7%, easing the entry of new firms.

Average procurement duration – transaction RFP

At just over three months, Portugal has one of the lowest periods from announcement of a tender to contract award. Efficient procurement processes reduce costs, risks and down time for infrastructure contractors.

Registering property

In Portugal it takes 10 days to register a property, well below the 25 day High Income Countries’ average. As infrastructure projects often involve some transfer of property rights, an efficient registration process reduces project cost and risk.

Cost to start a business

According to the World Bank, the cost of starting a business in Portugal is 1.9% of income per capita, well below the High Income Countries’ average of 4.7%, easing the entry of new firms.

Average procurement duration – transaction RFP

At just over three months, Portugal has one of the lowest periods from announcement of a tender to contract award. Efficient procurement processes reduce costs, risks and down time for infrastructure contractors.

Registering property

In Portugal it takes 10 days to register a property, well below the 25 day High Income Countries’ average. As infrastructure projects often involve some transfer of property rights, an efficient registration process reduces project cost and risk.

Top Performing Metrics

Top Performing Metrics

This is defined by the metrics with the highest unweighted score out of 100. 

High income country average

Opportunities to Grow

Published infrastructure plan

Portugal does not have a national or sub-national infrastructure plan. The addition of an infrastructure plan could highlight infrastructure challenges and opportunities for investment, as well as detail the government's planned responses.

Long term GDP growth trend

Portugal’s long-term GDP growth trend has increased to 0.7% since 2017, but this is still below the High Income Countries average of 1.8%. Combined with the uncertain impact of the COVID-19 pandemic, this low growth trend may hamper Portugal’s ability to borrow and build more infrastructure.

Gross government debt

At 118% of GDP, Portugal’s gross government debt is the fourth largest among High Income Countries. Combined with a current credit rating of BBB and the impacts of the COVID-19 pandemic, servicing this debt is a significant burden on Portugal's ability to fund infrastructure.

Published infrastructure plan

Portugal does not have a national or sub-national infrastructure plan. The addition of an infrastructure plan could highlight infrastructure challenges and opportunities for investment, as well as detail the government's planned responses.

Long term GDP growth trend

Portugal’s long-term GDP growth trend has increased to 0.7% since 2017, but this is still below the High Income Countries average of 1.8%. Combined with the uncertain impact of the COVID-19 pandemic, this low growth trend may hamper Portugal’s ability to borrow and build more infrastructure.

Gross government debt

At 118% of GDP, Portugal’s gross government debt is the fourth largest among High Income Countries. Combined with a current credit rating of BBB and the impacts of the COVID-19 pandemic, servicing this debt is a significant burden on Portugal's ability to fund infrastructure.

Metrics to Improve

Metrics to Improve

This is defined by the metrics with the lowest weighted score out of 100, such that these metrics would have the greatest impact on the overall score.

For metrics that have binary outcomes (yes=100/no=0), no comparative income group average is reported.

High income country average

Funding capacity:
Long term GDP growth trend

Funding capacity:
Gross government debt

Detailed Data

This section shows country data for each of the 41 metrics. The figures in brackets denote the change in score since InfraCompass 2017. 

Note that all data has been normalised on a scale of 1-100. For raw metric data, please download the complete InfraCompass 2020 dataset. 

Where relevant, some metric scores have been inverted, such that all metrics have positive relationships with good infrastructure outcomes. For example, since lower compliance costs make it easier to invest in infrastructure, the normalised value of ‘number of procedures to start a business’ has been reversed such that lower number of procedures are scored closer to 100, and higher numbers closer to 0. In other words, a score of 0 indicates a poor performance, rather than 0 number of procedures.

Governance Regulatory Permits Planning Procurement Activity Funding Financial
Driver
Rank
Score /100
Emerging Aspiring Contender Top performer Global Leader
19
1
71.9
- No ranking change Ranking increase Ranking decrease

Metric

Portugal

High Income Countries Average

Source Link

28.2%

Recovery rate

The recovery rate is recorded as cents on the dollar recovered by secured creditors through reorganisation, liquidation or debt enforcement (foreclosure or receivership) proceedings.

64.8 (-1.8)
68.3

20.7%

Rule of law

World Governance Composite Indicator reflecting perceptions of the extent to which agents have confidence in and abide by the rules of society, and in particular the quality of contract enforcement, property rights, the police, and the courts, as well as the likelihood of crime and violence. The rule of law reflects whether the law imposes limits of power on the state, private sector and individuals.

72.8 (+0.9)
74.3

18.1%

Post-completion reviews

Whether the country conducts post-completion reviews on infrastructure projects to ensure the forecast outcomes are being achieved.

Yes
-

15.1%

Shareholder governance

Measures the governance practices that protect shareholders through three dimensions: the extent of shareholder rights index (shareholders’ rights and role in major corporate decisions), the extent of ownership and control index (governance safeguards protecting shareholders from undue board control and entrenchment), and the extent of corporate transparency index (corporate transparency on ownership stakes).

43.3
48.1

12.8%

Political stability and absence of violence score

Measures perceptions of the likelihood of political instability and/or politically-motivated violence, including terrorism. Estimate gives the country's score on the aggregate indicator, in units of a standard normal distribution i.e. ranging from approximately -2.5 to 2.5.

69.0 (+2.8)
61.9

5%

Infrastructure or PPP agency

Whether an infrastructure agency exists to coordinate an integrated approach to infrastructure delivery and policy.

Yes
-

Portugal

High Income Countries Average

64.8 (-1.8)
68.3
72.8 (+0.9)
74.3
Yes
-
43.3
48.1
69.0 (+2.8)
61.9
Yes
-

Country Overview Data

Portugal’s regulatory frameworks and permit system support the creation of new businesses and provide strong protections for investors against insolvency. Combined with high quality procurement processes and a stable financial system, this environment helps attract investment in infrastructure. Despite an improvement in funding capacity from InfraCompass2017, Portugal’s sluggish GDP growth, significant public debt and the potential economic fallout from the COVID-19 pandemic may hinder future infrastructure expenditure.
GDP per capita

24,296 USD

Population

10.3 million persons

Infrastructure quality

83.6 (0-100 best)

GDP

236.4 USD billion

GDP growth rate

1.9%

GDP per capita growth rate

-1.7%

Gini coefficient

35.5 (0-100 worst)

Gross Government Debt

118.0% of GDP

Inflation rate

0.9%

Summary credit rating

71.0 (0-100 best)

Unemployment rate

6.1%

Urbanisation ratio

65.0% of total population

Road connectivity

94.2 (0-100 best)

Quality of road infrastructure

6.0 (1-7 best)

Efficiency of train services

4.2 (1-7 best)

Efficiency of air transport services

5.0 (1-7 best)

Efficiency of seaport services

4.9 (1-7 best)

Electricity access

100.0% of population

Electricity supply quality

8.8% of output lost

Exposure to unsafe drinking water

1.1% of population

Reliability of water supply

6.3 (1-7 best)

Digital Adoption Index

0.8 (0-1 best)

Mobile-broadband subscriptions

73.8 per 100 population

Fixed-broadband Internet subscriptions

36.9 per 100 population