How's the economy in Algarve?

The economy of the Algarve is mainly focused on tourism, which is the main economic driver here. There is a little bit of agriculture in particular with the production of local fruits such as oranges, carobs, almonds, etc. There is some fishing, including offshore aquaculture or what we call “long line fishing,” cultivation of oysters, mussels, etc. There is also some tuna aquaculture in the Rio de Tavira. There is no manufacturing industry here but there is a little bit...

The economy of the Algarve is mainly focused on tourism, which is the main economic driver here. There is a little bit of agriculture in particular with the production of local fruits such as oranges, carobs, almonds, etc. There is some fishing, including offshore aquaculture or what we call “long line fishing,” cultivation of oysters, mussels, etc. There is also some tuna aquaculture in the Rio de Tavira. There is no manufacturing industry here but there is a little bit of the service industry.

 

Then of course, there is the public sector. There are a lot of public sector employees who work in the municipalities, tax department, and public services in general. Generally, tourism and the public sector and a little of agriculture are the economic drivers of the Algarve. 

 

The economy right now is better than it had been 9 years ago. Tourism has been growing year after year. Tourism here includes the activities related to expats and anything else that involves people visiting the region or ultimately moving here, typically not full time initially but part time until they understand whether this is the place for them or not, and then becoming permanent residents. That transition phase is something that is included in the tourism numbers.

 

In the World Travel Market in London, the Algarve is again the Most Requested Region in the World. Tour operators in the UK are moving a lot of the traffic from North Africa and the Middle East to southern European places like the Algarve, which has been particularly popular. From the tourism, sector, the Algarve is doing very well and this has been boosted by the new legislation called the Non-Habitual Residency, which means that people can come and live and even retire in Portugal tax free. This has increased the demand for the country of Portugal and specifically for the Algarve.  

 

(Olive you, Portugal. I love you, Portugal graphic by Jet Metier, pictured.)