Growth in the Portuguese economy is expected to accelerate in the second quarter of the year compared to the same period last year but to lose some of its momentum when compared to the first quarter.

After a year-on-year growth of 1.5% at the start of the year, the CIP/ISEG barometer predicts an expansion of between 1.7% and 1.9%, the Competitiveness Forum of between 1.9% and 2.2%, and NECEP – Católica Lisbon Forecasting Lab of 1.7%.

According to the CIP/ISEG barometer, this development is likely due to the positive contribution of domestic demand, with domestic consumption slowing down but investment recovering from the consecutive decline seen at the beginning of the year. However, the barometer considers that “the contribution of net external demand is more uncertain, with better prospects for international trade in goods than for the tourism balance, which is unlikely to repeat the level of gains recorded in the first quarter”.