Having been hit hard by the global crisis, the Portuguese government has taken action to put its economy back on track, and to correct external and budgetary imbalances. Public finances have strengthened, and the current account deficit has closed on the back of gains in competitiveness and improvements in export performance. Portugal has also been able to reduce income inequality and relative poverty, a major accomplishment during a severe crisis with record levels of unemployment. As Portugal successfully exits the EU-IMF-ECB-supported programme and emerges from recession, it is more important than ever to build on these achievements.
At the request of the Portuguese authorities, the OECD has carried out an assessment of the impact of the reforms implemented to date on the economy’s longer-term growth outlook. The analysis is based on OECD indicators of the restrictiveness of Product Market Regulation (PMR) and the strictness of Employment Protection Legislation (EPL). It updates the OECD report Portugal: Reforming the State to Promote Growth, published in 2013.
According to the OECD’s Going for Growth exercise, Portugal is among the OECD countries with the best recent track record of responsiveness to structural reform recommendations. The reforms undertaken since 2009 to promote competition in product markets and enhance the dynamism of the labour market are expected to raise productivity and potential GDP by at least 3.5% by 2020.
The average worker in Portugal faced a tax burden on labour income (tax wedge) of 41.1% in 2013 compared with the OECD average of 35.9%. Portugal was ranked 12 of the 34 OECD member countries in this respect.
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Old-age poverty decreased in Portugal in the final few years of the last decade by more than twice the OECD average. The effective age of labour market exit is high in Portugal in international comparison...
Education at a Glance 2013 - Country notes and key fact tables
Drawing on the OECD’s expertise in comparing country experiences and identifying best practices, the Better Policies series tailors the OECD’s policy advice to the specific and timely priorities of member and partner countries, focusing on how governments can make reform happen.
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Despite the expansion of the education system, educational attainment remains a challenge. Only half of 25-34 year-olds in Portugal had attained at least upper secondary education in 2010.
The objective of senior budget official country reviews is to provide a comprehensive overview of the budget process in the country under examination, to evaluate national experiences in the light of international best practice and to provide specific policy recommendations.
These country notes contain over 50 indicators which compare the political and institutional frameworks of national governments as well as revenues and expenditures, employment, and compensation. They include a description of government policies on integrity, e-government and open government.
This report presents the OECD review of Portugal’s environmental policy performance for 2011. It finds that environmental policies have been consolidated and strengthened since the last review in 2001, but that meeting the post-Kyoto targets for reducing greenhouse gas emissions will be challenging. With energy and climate policies being closely related, the report points out that with less than 50% of hydro capacity currently being exploited, there is potential for further development in that area. It also describes the challenges regarding coastal zone and marine management.
Topics covered in the report include greening growth, implementation of environmental policies , international co-operation , climate change, waste management and the 3Rs (reduce, reuse, recycle), and nature and biodiversity.
Further information about the Environmental Performance Review programme is available on line via www.oecd.org/env/countryreviews.