Emigrant Remittances’ Share of GDP Declines

Portuguese emigrant remittances reached a record nominal value of €4.388 billion in 2025, representing a 2.14% increase. However, these flows now account for a diminishing portion of the national economy, with their share of Portugal’s gross domestic product (GDP) falling for the fifth consecutive year.

The share of remittances in the country’s GDP dropped to 1.43% in 2025, marking the lowest level recorded since 2011.

Historical Trends in Remittance Impact

The current economic weight of emigrant transfers is significantly lower than in previous decades. Remittances historically played a more substantial role in the Portuguese economy, reaching a peak of 9.36% of GDP in 1979.

The divergence between the record-high nominal amount of money sent home and the declining percentage of GDP suggests that the broader Portuguese economy has grown at a faster rate than the increase in remittance flows.

Global Remittance Context

The trend in Portugal occurs within a larger global framework of migrant financial transfers. According to the International Organization for Migration, migrants sent an estimated USD 831 billion in international remittances globally in 2022, an increase from USD 791 billion in 2021.

The importance of these flows varies by region. In Latin America and the Caribbean, migration flows to OECD countries have quadrupled, making emigration and remittances critical factors in shaping economic and social prospects in those areas.