Microsoft announced that it will launch an AI hub called the AI Innovation Factory, in Portugal, in partnership with Accenture, Avanade, and Unicorn Factory Lisboa, with the objective of accelerating businesses’ adoption of AI solutions.
The factory will be integrated within Unicorn Factory’s AI Hub, in Alvalade, Lisbon, and its goal is to foster innovation by leveraging AI and accelerating the increase of its application by public and private companies.
With an inauguration projected for November this year, the AI innovation factory will work across all sectors and contribute to the sustainable development of the country by creating and applying systems that rely on emerging technologies.
Until the inauguration date, the AI innovation factory’s program will start rolling within the headquarters of Microsoft and the remaining partners, in Lisbon. It will provide companies with a platform for enhanced inspiration and idealization, where they can access real use cases and try on approved design thinking methodologies.
According to a study by Microsoft and the consultancy firm IDC, 62% of Portuguese companies already use AI, and 25% of those who do not, hope to implement it in the near future.
Note that the data of the study come from more than 2,000 company leaders and decision-makers from around the world.
Currently, the three most applied use cases in Portugal are advanced data analytics, chatbots, and project optimization.
40% of Portuguese organizations (public and private) use public cloud platforms for experimentation, development, and testing of AI, and 26% use public cloud platforms during the entire cycle of implementing an AI solution.
36% of Portuguese organizations (public and private) already have an overseeing governance body responsible for supervising and managing the AI, and 77% affirm that it is very important that AI providers have a responsible AI strategy in place.
Companies are anxious to start developing and applying AI solutions. 67% of those who were interviewed already utilize AI tools in their organizations and 21% plan on doing it in the upcoming months.
The companies that have already implemented AI solutions are obtaining a return on investment (ROI) within 14 months, and for every 0.91 euros they spend, they get 3.06 euros back.
Notwithstanding, the lack of qualified professionals is hindering the possibility of accelerating the AI adoption process of 54% of Portuguese companies.
According to the latest OECD report, the OECD countries’ GDP growth decreased to 1.6%, when compared to 2.9% in the previous year.
Among the 27 EU countries, Portugal was the fifth fastest-growing economy. Its GDP growth rate was 2.6%. This is above the OECD, the EU, and the eurozone averages, which were 1.6%, 0.5%, and 0.5%, respectively.
Above Portugal were the US and Spain with 2.5%, Mexico with 3.1%, and Costa Rica with 5.1%. On the other hand, 10 countries had a negative growth rate. Ireland, Hungary, and Austria are among those countries.
Note, however, that even though Portugal was the fifth fastest growing country in 2023, its GDP growth rate decreased substantially when compared to the previous year. It went from 6.8% to 2.6%, which represents a drop of 4.2 percentage points.
2023 was a big year when it came to changes to the tax system for new residents in Portugal. It was announced that the Non-Habitual Resident (NHR) tax regime was coming to an end as parliament argued it was no longer beneficial to the country.
For the last 15 years, the NHR was available to all new tax residents in Portugal who were not Portuguese tax residents for the five years prior, granting them a 20% flat rate on personal income tax for 10 years.
This was incredibly beneficial to new residents, especially those making over around 80,000 euros a year where the general rate for the population is 48%.
If you were not lucky enough to enjoy the NHR regime before it ended, you might still have a chance of enjoying some tax benefits with the new NHR regime, known as NHR 2.0.
Grandfathering Rules: Is the initial NHR regime still available to me?
But before we get into the new NHR regime, make sure that you are not still eligible for the initial NHR. Although it has officially ended, you might still qualify if you started your move to Portugal back in 2023. According to Sam Daynes, from Holborn Assets, you are still eligible if you fit into the following Grandfathering rules:
Promissory employment agreement or promissory secondment agreement (or employment or secondment agreement) signed by 31 December 2023 to perform activities in Portugal or
Lease agreement or other agreement granting the use or possession of property located in Portugal and concluded before 10 October 2023 or
Reservation or promissory contract for the acquisition of property located in Portugal concluded before 10 October 2023 or
Enrolment or registration for dependents at Portuguese educational establishment by 10 October 2023; or
Residence visa or residence permit valid by 31 December 2023; or
The procedure, initiated by 31 December 2023, is for granting a residence visa or residence permit with the competent entities in accordance with the current immigration legislation (e.g., visa appointment in 2023).
The New NHR: Non-Habitual Residents in 2024
Now, let’s get into the new NHR for non-habitual residents in 2024. The new regime focuses on employment, primarily scientific research, and innovation, while no longer benefiting retirees and other high-value jobs.
The benefits remain the same – a 20% flat tax rate on personal income and a tax exemption on other passive income. Therefore, you will also not pay any tax on dividends, interest, royalties, capital gains, rental income from real estate outside Portugal, and income from employment in another country.
Keep in mind that this 20% flat rate could be incredibly beneficial when you look at the 2024 general tax rates for personal income in Portugal:
Up to €7,703 13.25%
€11,623 –€16,472 23%
€16,472 –€21,321 26%
€21,321 –€27,146 32.75%
€27,146 –€39,791 37%
€39,791 –€51,997 43.5%
€51,997 –€81,199 45%
Over €81,199 48%
Broadly speaking, employed or self-employed roles such as higher education professors, scientific research technology, and also start-up companies are eligible. But let’s get into more detail on who qualifies for the new NHR regime in Portugal.
Want to become part of the large community of US expats in Portugal? Sign up for Holborn Assets’ live webinar on the challenges facing US connected clients moving or living in Portugal. Find out all about the financial perks of moving to Portugal and have all your burning questions answered. The event is scheduled for May 16 at 5 pm (Lisbon Time) / 12 pm EST. If you would like to schedule a one-on-one call instead, you can book one here.
Who Qualifies for the new Non-Habitual Resident (NHR) Status in Portugal
Educational activities in higher learning institutions and scientific investigation, including employment in scientific roles within entities, structures, and networks affiliated with the national science and technology system. This also includes positions and individuals serving on governing bodies within entities acknowledged as technology and innovation centers in Portugal.
Employment positions and individuals serving on the boards of organizations that receive contractual tax incentives in Portugal through agreements with IAPMEI or AICEP. These incentives are applicable to substantial investments exceeding €3 million.
Highly qualified professionals working for entities benefiting from the Investment Promotion Tax Regime (RFAI)…
Or in industrial and service companies that export at least 50% of their turnover in the year of starting work or the prior two years.
Research and Development personnel whose costs are eligible for the R&D tax incentive system (SIFIDE).
Job positions and members of entities certified as start-ups under the Portuguese Start-Up Law. A start-up is defined, under Portuguese law as follows:
Less than 10 years of activity
Less than 250 employees
Less than €50 million turnover
Not held by a large company
Based in Portuguese territory or have more than 25 employees
Be an innovative company, have one round of VC financing, or investment from Banco Portugês de Fomento.
How to Obtain Residency in Portugal
In order to become a non-habitual resident, you must have lived in Portugal for more than 183 days in the space of 12 months. You can also have lived in the country for less than 183 days but have bought property in Portugal during those 12 months or performed public functions in the name of the Portuguese state for the last 12 months.
If the last two options were not the case for you, you will need to obtain residency in order to be eligible for the non-habitual tax regime. Portugal has some attractive long-stay national visas, also known as residency visas, that allow you to make use of the 10 years of tax incentives of the NHR status. Take a look at these guides for Portuguese visas: the Portugal Golden Visa, the Portugal D7 Visa & the Portugal D2 Visa.
Keep in mind that the Portuguese Golden Visa no longer allows for investment through property since October 2023. Instead, the current investment routes include:
Donation to Arts €250,000
Venture Capital/Private Equity Fund €500,000
Donation to Research Activities €500,000
Company Creation 10 employees or €500,000 + 5 employees
Additionally, we’ll discuss tax implications, investment strategies, and how to maximize your financial potential in your new home. Join us to gain valuable insights and ensure a secure financial future in Portugal here.
For 15 years, the Non-Habitual Resident (NHR) tax regime in Portugal has attracted thousands of residents by offering reduced tax rates and even full tax exemptions for the first ten years of residence. NHRs are taxed at a flat rate of 20% on their income and are exempt from paying taxes on global income.
However, in late 2023, it was announced that the Non-Habitual Resident (NHR) tax regime was coming to an end as parliament argued it was no longer beneficial to the country.
If you were not lucky enough to enjoy the NHR regime before it ended, you might still have a chance of enjoying some tax benefits with the new NHR regime, known as NHR 2.0. The benefits remain almost the same, but the pool of those who can apply has become a lot smaller. Moreover, the new regime focuses on employment, primarily scientific research, and innovation, while no longer benefiting retirees and other high-value jobs.
Benefits of the Non-Habitual Resident (NHR) Tax Regime in Portugal
Bear in mind that the following benefits only last for 10 years. After that, you will become a regular tax resident like other citizens and will have to abide by the traditional fiscal regime.
Personal Income Tax (IRS): 20% Flat Tax
Those who work in Portugal (freelance or regular employment) under the NHR tax regime only pay a 20% flat rate on personal income tax (IRS).
Global Income
You will also not pay any tax on dividends, interest, royalties, capital gains, rental income from real estate outside Portugal, and income from employment in another country. These will be paid in the source country if your country has a Double Taxation Agreement (DTA) with the country. The UK, USA, and many more countries have a DTA with Portugal where this is the case.
Other Taxes
If your pension income happens to be taxed in Portugal as you are not eligible under a DTA, it will only be taxed at a flat rate of 10% which includes retirement savings and insurance. Those with non-habitual residency status pay pension tax like income tax, which can go up to 48%. You will also not pay any inheritance or wealth tax.
Want to become part of the large community of US expats in Portugal? Sign up for Holborn Assets’ live webinar on the challenges facing US connected clients moving or living in Portugal. Find out all about the financial perks of moving to Portugal and have all your burning questions answered. The event is scheduled for May 16 at 5 pm (Lisbon Time) / 12 pm EST. If you would like to schedule a one-on-one call instead, you can book one here.
Eligibility & Requirements: Who Qualifies for Non-Habitual Resident (NHR) Status in Portugal
Keep in mind that you must have the right to be in Portugal through a long residency visa such as the Portugal Golden Visa, the Portugal D7 Visa, or the Portugal D2 Visa. Here’s a list of who qualifies for the new NHR in Portugal:
Educational activities in higher learning institutions and scientific investigation, including employment in scientific roles within entities, structures, and networks affiliated with the national science and technology system. This also includes positions and individuals serving on governing bodies within entities acknowledged as technology and innovation centers in Portugal.
Employment positions and individuals serving on the boards of organizations that receive contractual tax incentives in Portugal through agreements with IAPMEI or AICEP. These incentives are applicable to substantial investments exceeding €3 million.
Highly qualified professionals working for entities benefiting from the Investment Promotion Tax Regime (RFAI)…
Or in industrial and service companies that export at least 50% of their turnover in the year of starting work or the prior two years.
Research and Development personnel whose costs are eligible for the R&D tax incentive system (SIFIDE).
Job positions and members of entities certified as start-ups under the Portuguese Start-Up Law. A start-up is defined, under Portuguese law as follows:
Less than 10 years of activity
Less than 250 employees
Less than €50 million turnover
Not held by a large company
Based in Portuguese territory or have more than 25 employees
Be an innovative company, have one round of VC financing, or investment from Banco Portugês de Fomento.
How to Apply for Non-Habitual Residency in Portugal
How to Obtain Residency in Portugal
In order to become a non-habitual resident, you must have lived in Portugal for more than 183 days in the space of 12 months. You can also have lived in the country for less than 183 days but have bought property in Portugal during those 12 months or performed public functions in the name of the Portuguese state for the last 12 months. If the last two options were not the case for you, you will need to obtain residency in order to be eligible for the non-habitual tax regime. Portugal has some attractive long-stay national visas, also known as residency visas, that allow you to make use of the 10 years of tax incentives of the NHR status. Let’s go through our favorites: the Portugal Golden Visa, the Portugal D7 Visa & the Portugal D2 Visa.
Keep in mind that the Portuguese Golden Visa no longer allows for investment through property since October 2023.
The Portugal Golden Visa was launched in 2012 to increase foreign investment in Portugal and boost the economy as it requires an investment of at least €350,000. With the Golden Visa, non-EU/EEA/Swiss citizens can live and work in Portugal, as well as travel freely within the Schengen area. The visa leads to permanent residence after 5 years and citizenship after 6 years. However, you do not need to live in Portugal to obtain this visa. You must stay in Portugal for at least 7 days in the first year and 14 days in the subsequent years. The most important thing is that you make an investment with funds from outside of Portugal.
Since 2023, the Golden Visa investment routes have changed and property investment is no longer an option. Instead, the current investment routes include:
Donation to Arts €250,000
Venture Capital/Private Equity Fund €500,000
Donation to Research Activities €500,000
Company Creation 10 employees or €500,000 + 5 employees
Take a look at our full guide to the Portugal Golden Visa here.
Portugal D7 Visa
The Portugal D7 Visa is suitable for retirees, digital nomads, and remote workers with proof of a stable income. The D7 Visa was introduced in 2007 and allows non-EU/EEA/Swiss citizens to obtain permanent residency in Portugal after 5 years and citizenship after 6 years. This might sound similar to the Golden Visa, but unlike it, it does not require an investment. All you need is to prove that you have a solid passive income that can come from a retirement pension, a financial investment, real estate income, or salary.
The minimum income required is €8,460 per year for the main applicant. For a spouse, you must add 50% to this (€4,230) and for a dependent child, you must add 30% to this (€2,538). Therefore, for a couple with one child, you would need around €15,300 a year to be eligible for the D7 Visa.
You must also spend at least 16 months in Portugal during the first 2 years of the visa, as well as have a clean criminal record and show proof of residence address in Portugal (rental or purchase).
The Portugal D2 Visa caters to entrepreneurs, freelancers, and independent service providers who wish to reside in Portugal. Non-EU/EEA/Swiss citizens who want to start a business in Portugal or relocate their existing business to the country can make use of this visa. Another option is choosing to invest in a Portuguese business. Like the Golden Visa and D7 Visa, the D2 visa allows for permanent resident status after 5 years and citizenship after 6 years.
To be eligible, you must prove that you have the financial resources to sustain your business. Although there is no number set in stone, the recommended minimum is at least €5,000. You will also have to show that you can financially sustain yourself
You will also have to present a business plan that demonstrates your business is economically viable and that will be reviewed for its social, economic, and cultural impact.
Keep in mind that the non-habitual resident tax regime applies to your personal income tax, personal capital gains, pension allowance, etc, but your company will still have to pay the normal corporate tax (21% in mainland Portugal) and social security fees (23.75% on top of each employee monthly wage).
Considering Portugal's Golden Visa Program? Everything you need to know + how to qualify with 325,000 EUR
If you're interested in finding out the latest details about the Golden Visa program and want to take advantage of the new opportunities. Signup for a live Q&A webinar with an expert from Holborn Assets that will answer all your questions. The event is scheduled for February 13 at 5 PM Lisbon Time (1 PM EST). The live webinar will cover the following:
Golden Visa basics, how to qualify, who can be included
New Investment Criteria for 2024
Golden Visa timeline and process
How to qualify with just 325,000 EUR - this exclusive offer includes investment loan financing to bridge the gap to reach the 500k minimum investment
*If you cannot attend the seminar or would prefer one-on-one, book a call here.
Portugal’s Golden Visa Not Ending After All
In June 2023, the government announced the visa scheme is not fully ending. Instead, certain investment options that make you eligible for the visa are being scrapped, predominantly related to real estate. So while it is true that you will no longer be able to purchase property to be eligible, there are still plenty of other investment avenues.
The current investment routes include:
Donation to Arts €250,000
Venture Capital/Private Equity Fund €500,000
Donation to Research Activities €500,000
Company Creation 10 employees or €500,000 + 5 employees
What is the Portugal Golden Visa?
Created in 2012, the Portugal Golden Visa is known as one of the most attractive in the world. The Portugal Golden Visa was created to boost foreign investment to benefit the Portuguese economy. The program allows non-EU citizens to qualify for a residency permit and eventually a passport in the country through investments.
With a Portugal Golden Visa, you can live in Portugal and travel within most European countries without an issue. However, you do not need to live in Portugal to be eligible for this visa. All you need to do is to stay in the country for at least 7 days in the first year and 14 days in the subsequent years. You obviously also need to engage in an investment, which we will get to.
What are the Benefits of the Portugal Golden Visa?
1. Visa Exemption
The Portugal Golden Visa allows you to enter Portugal and the Schengen area (26 EU Countries). You can travel freely without requiring a visa, essentially granting you the travel privileges of European Union citizens.
2. Ability to Stay in Portugal
The visa grants you the right to live, study and work in Portugal as if you were an EU citizen.
3. Family Perks
The Portugal Golden Visa does not only grant the investor privileges but also their family members. The program includes family reunification, meaning that a spouse, minor children, children over 18, children over 18 who are studying, and parents who are financially dependent on the investor are all granted the same rights. They can all live and work in Portugal and travel freely within the Schengen area, as well as enjoy all the visas’ benefits.
4. Permanent Residence: Does the Portugal Golden Visa Lead to Residence?
The investor can apply for permanent residence if they follow all the requirements and complete the 5 years necessary.
5. Citizenship: Does the Portugal Golden Visa Lead to Citizenship?
After legally residing in Portugal for at least 6 years, the investor can apply for Portuguese citizenship and potentially obtain a passport. However, to get citizenship you must obtain an A2 Portuguese language certificate, prove you have links to the country such as through your investment, provide documents such as proof of a Portuguese bank account, and have no criminal record.
The Portugal Golden Visa provides some inviting tax incentives. You will not be faced with any tax responsibility unless you become a tax resident, meaning you spend more than 183 days of the year in Portugal.
If so, under the Portugal Gold Visa, you might also be able to become a Non-Habitual Resident (NHR) tax regime if you are eligible under recently more strict conditions. Here are the benefits of this tax regime:
Income is taxed at 20%
You will only be taxed on your worldwide income after the first 10 years of residence.
Foreign interest, dividends, rents, and property capital gains can be exempted from taxation. You will also not pay an inheritance or wealth tax.
Keep in mind that the initial NHR that was initiated in 2009 ended in late 2023, but a new NHR 2.0 is now in place with similar benefits. The benefits remain almost the same, but the pool of those who can apply has become a lot smaller. Moreover, the new regime focuses on employment, primarily scientific research, and innovation, while no longer benefiting retirees and other high-value jobs.
Want to become part of the large community of US expats in Portugal? Sign up for Holborn Assets’ live webinar on the challenges facing US connected clients moving or living in Portugal. Find out all about the financial perks of moving to Portugal and have all your burning questions answered. The event is scheduled for May 16 at 5 pm (Lisbon Time) / 12 pm EST. If you would like to schedule a one-on-one call instead, you can book one here.
You are eligible for a Portugal Golden visa if you are a non-EU/EEA/Swiss national. You need to be at least 18 years old and have no criminal record. The main requirement is that you make an investment in Portugal, which will be explained in detail in the next section. Keep in mind that property is no longer an accepted investment route.
Life After Brexit: Why Should UK Nationals Apply for a Portugal Golden Visa?
Since January 1st, 2021, UK citizens are eligible to apply for the Portugal Golden Visa which allows them to travel freely within the Schengen Area. This is a great option for UK nationals who want to enjoy some benefits, essentially getting back most of the EU citizen rights that were lost in Brexit. A UK national with a Portugal golden visa can travel freely through the Schengen area (26 EU Countries). A UK national will then also have the right to work, study, and live in any EU/EEA country. They will also be able to apply for residence and later on, citizenship, granting a UK national an EU passport.
Golden Visa Portugal Investment Options: What investments qualify for a Portugal Golden Visa in 2024?
There are four main types of investment types to qualify for a Portugal Golden Visa in 2024.
Donation to Arts €250,000
Venture Capital/Private Equity Fund €500,000
Donation to Research Activities €500,000
Company Creation 10 employees or €500,000 + 5 employees
According to Holborn Assets, Portuguese venture capital/private equity funds account for the vast majority of new Golden Visa applications, having the largest selection of investment options. This investment route is also the only option that requires no active management from the investor, nor a donation to the government.
Golden Visa Application Costs: How much does the Portugal Golden Visa Application Cost?
There are a number of government application fees when applying for a Portugal Golden Visa. The processing fee is around €550 at the beginning and then you will have to pay around €80 for each renewal. The initial application fee is around €5,325 per person, a one-time payment. The renewal application fee costs €2,663 per person. If you want eligible members to also have a Golden Visa, you must pay this fee for them, as well.
Also, expect to pay a legal fee and prices will depend on the law firm and investment types. The prices usually start from €5,000 for legal costs. However, a lawyer’s help will make the whole bureaucratic application process a lot easier.
Portugal Golden Visa: Healthcare in Portugal
Portugal has a strong National Health Service called SNS, which takes the 17th spot on the World Index of Healthcare Innovation. If you obtain a Portugal Golden Visa, you can register with the SNS and access public healthcare. After you obtain your visa, you must register with the local health care center using your residence card. You will then be provided with your healthcare number that you will need to access public health care.
The SNS provides multiple services from emergency treatment, psychiatric care, and maternity care. Most services are free. However, there are certain particular services such as visiting energy rooms or diagnosing exams that require payment. Usually, the prices range from €5 to €20. SNS services are completely free for children under 18 and those over 65. Dental care is not included in the SNS.
Aside from the SNS, Portugal also has private hospitals as it has a hybrid public-private health system. If you have a Portugal Golden Visa, you can purchase private insurance so that prices are more affordable. Health insurance prices range from €300 to €1,000 a year, depending on the company and other personal factors such as your age.
Considering Portugal's Golden Visa Program? Everything you need to know + how to qualify with 325,000 EUR
If you're interested in finding out the latest details about the Golden Visa program and want to take advantage of the new opportunities. Signup for a live Q&A webinar with an expert from Holborn Assets that will answer all your questions. The event is scheduled for February 13 at 5 PM Lisbon Time (1 PM EST). The live webinar will cover the following:
Golden Visa basics, how to qualify, who can be included
New Investment Criteria for 2024
Golden Visa timeline and process
How to qualify with just 325,000 EUR - this exclusive offer includes investment loan financing to bridge the gap to reach the 500k minimum investment
Residing in Lisbon comes with advantages, including its closeness to beaches, access to culture, and incredible food scene. What sets it apart from other European capitals is the affordability of living, though the cost has been noticeably increasing, posing a challenge for the residents on a local Portuguese salary. Still, Lisbon is around 30% cheaper than Paris and 50% cheaper than London.
Keep in mind that the highest cost for anyone moving to Lisbon is the rent. The average price for an apartment in Lisbon is 21€/m2 (December 2023), a 17% increase in comparison to December 2022. Let’s take a look at the average monthly budget in Lisbon for expats without children, families, and digital nomads in 2024.
Housing: For a one-bedroom apartment that’s around 60 m2, expect to pay over €1200. Alternatively, you can also find studios for €700 to €900 a month but expect cramped conditions. Rooms in shared homes tend to go for around €600 at the moment.
Utilities: You need to budget at least €100 to €150 for bills such as electricity and gas, but this can go up in the winter with a lot of use of your heating. Also, keep in mind that your internet and phone bill should run you around an extra €50.
Groceries: The price of groceries depends on your lifestyle, diet, choice of products, as well as where you shop. But for a safe bet, budget at least €100 a week for groceries for one person.
Eating Out: Full meals for €10 are a thing of the past in Lisbon. While you can still find a few bargains, prices this low are rare and hard to find. A meal out will cost you at least €20 without alcohol at most mid-range restaurants but can be a lot more expensive. If you eat out twice a week, for example, you will need to budget at least €160 a month, but this amount is still pretty conservative.
Transportation: Lisbon has new transport passes for €40 called Passe Navegante which allows you to use all public transport companies in the 18 municipalities in greater Lisbon.
Healthcare: Much like the UK’s NHS, Portugal’s public healthcare system provides essential medical services free of charge to residents, though certain state healthcare services may necessitate standard user fees. These fees range, with examples including €15 for Accident and Emergency Department visits and €5 for basic GP appointments. If you want to go private for easier access to appointments and a wider range of services available (dermatology and dentistry, for example), health insurance will cost you anywhere between €40 to €100 a month.
Cost of Living in Lisbon for a Digital Nomad
Housing: If you are looking for a short stay of less than a year, you might still be able to rent a place with a rental contract and pay around €1200 for a one-bedroom. However, it’s more likely that you will have to book a place on Airbnb. This will cost you at least around €1500 for a small apartment during the low season, and anywhere from €2500 to €3000 during the summer. Alternatively, renting a bed at a hostel for around €30 could help you save some money.
Groceries: Digital nomads tend to want to explore the food scene since they might be staying in Lisbon for shorter periods of time. However, if you are keen on making most of your food at home, budget €100 a week for groceries for one person.
Transportation: Lisbon has new transport passes for €40 called Passe Navegante which allows you to use all public transport companies in the 18 municipalities in greater Lisbon. Uber and Bolt also offer quite affordable fares in Lisbon.
Eating Out: A meal will cost you around €20 at an average mid-range restaurant without alcohol. But you can easily spend €40+ on a meal for one at certain restaurants in Lisbon.
Sightseeing & Leisure: Make the most out of Lisbon while you’re here. The city has plenty of museums, theaters, cinemas, and bars to explore. Budget around €30 to €50 a week for these kinds of activities.
Coworking: Coworking spaces in Lisbon are becoming more expensive, matching other European cities. Renting a desk for a month can cost around €200 or more.
Cost of Living in Lisbon for a Family of Four
Housing: A 3-bedroom apartment in Lisbon will cost you around €2,100 but can easily go up to €3,000. You can find more affordable apartments in areas just outside Lisbon like Odivelas (13,2 €/m2), Amadora (13,4 €/m2), and Loures (12,9 €/m2), but then having a car is recommended.
Utilities: You need to budget at least €200 for bills such as electricity and gas, but this can go up in the winter with a lot of use of your heating. Internet and phone bills will depend on the amount of phones, but budget at least €100 for a family package.
Groceries: The price of groceries depends on your family’s lifestyle and food choices. But for a safe bet, budget at least €200 to €250 a week for groceries for a family of four.
Transportation: Lisbon has new transport passes for €40 called Passe Navegante which allows a person to use all public transport companies in the 18 municipalities in greater Lisbon. But for families, the deal is even better! Each family only needs to pay a maximum of two passes for €80 and the whole family gets transport included. If you have children under 12, they can also get a pass for free.
Eating Out: A meal out will cost you at least €20 without alcohol at most mid-range restaurants but can be a lot more expensive. If you eat out once a week with your family, for example, you will need to budget at least €300 a month, but this can be a lot more depending on the choice of restaurants.
Education: Schools can easily be the largest portion of your budget unless you opt for free Portuguese public schools. If you are looking for an international environment and English-speaking schools, private international schools can cost you anywhere between €7,000 and €20,000 a year per child. A private Portuguese school will cost you around €6,000.
Healthcare: Portugal’s public healthcare system provides medical care for free to residents, though certain state healthcare services include standard user fees (like €5 for basic GP appointments). At this moment, however, your family is unlikely to be given a family GP as there are none available, making access harder. Therefore, if you want to go private, you should get health insurance for your whole family which can cost at least €200, depending on factors such as age and previous illnesses.
In 2024, Portugal, a nation rich in religious, historical, and cultural days will experience a series of national public holidays recognized by the government. These holidays play a crucial role in the Portuguese calendar.
The general rule is that every worker is entitled to 22 working days off for vacation. However, with public holidays that might lead to extended weekends, you can maximize your time off.
Keep in mind that not only do you get days off, but expect shops and businesses to be closed as well. Moreover, Portugal’s public holidays, known as feriados, come with an interesting twist.
Unlike in some other countries, if a holiday falls on a Sunday, it doesn’t extend to the following Monday. The country features a range of both mandatory and optional holidays, with some being celebrated nationwide and others holding regional importance.
Let’s explore the list of national public holidays set for 2024.
Nationwide Public Holidays 2024
January 1: The first day of the year, on a Monday.
February 13: Carnival Tuesday, and businesses might still decree a “ponte” (bridge) where Monday is also off.
March 29: Saint Friday
March 31: Easter Sunday
April 25: Carnation Revolution, celebrated this year on a Thursday
May 1: Labour Day, which falls on a Wednesday
May 30: Corpus Christi Day on a Thursday
June 10: Camōes Day on a Monday
August 15: Day of the Assumption of Our Lady, the only holiday in August which falls on Thursday
October 5: Republic Day on Saturday
November 1: Day of All Saints on Friday, allowing for a long weekend
December 1: Restauration for Independence Day
December 8: Day of the Immaculate Conception
December 25: Christmas Day on a Wednesday
Local June Holidays
In the month of June, many cities in Portugal celebrate public holidays related to Catholic saints. These lead to celebrations all over the country, often known as Santos Populares.
June 13: Lisbon’s Saint Anthony Day on Thursday
June 24: Saint John’s Day in Porto, Braga, and Tavira
According to CNN Portugal, the Lisbon City Hall finally approved the requalification of an old palace (Palacete Touzet) located in Alcântara, Lisbon.
Dating back to 1888, Palacete Touzet served as the headquarters and atelier of the Touzet construction company, which was funded by the French constructors Charles Vieillard and Fernand Touzet, the authors of a large amount of the industrial patrimony that was built in Lisbon. The Central Tejo complex is one example of that patrimony.
This beautiful old palace, which can be considered a historic and patrimonial building, has been closed for years. Its conservation state has been deteriorating, and today, only the facades and the stairs remain.
The proposal for the new project has been around since 2017, but it was only approved very recently. Initially, according to the first proposal the property was going to be transformed into accommodation for tourists, but now it will be used for housing.
Given the characteristics and the value of the property, in terms of urban space, the Lisbon City Hall chose to approve the requalification under the condition that the facades are maintained. This decision aims at preserving that same value.
This type of requalification, which has been called ‘demolition’, is somewhat polemic. According to the article published by CNN Portugal, the property will be demolished but the facades will be preserved. However, considering that there is nothing but ruins inside, calling it a ‘demolition’ may induce the wrong idea.
What is rotten will be taken down, but the image will be preserved. Within the facades, a new building will emerge. One that considers and preserves the value of what it once was.
When the project is complete, Palacete Touzet will regain its image (not the old ruins), and its inside will be transformed into one studio apartment, one T1, five T2s, three T3s, and five T4s.
Around 50 radio stations from all over the country joined to boycott the upcoming legislative elections, in protest against the dying out of the sector.
According to a statement released by the Portuguese Broadcasting Association, the recent changes to the radio law, which added to the inexistence of favorable measures taken by any of the last governments, were the last stroke.
The boycott officially started with the European elections in 2019, extended to the legislative elections of that same year, and will last, at least, until the end of this year’s election cycle. There will be no broadcasting of any material related to the elections. No interviews, no debates, and no campaign time.
Hopefully, with the boycott, the current and future decision-makers understand that things cannot keep going as they are. In the last years, the government has not only not accepted any measure proposed by the sector, but also has not kept any of the promises made and approved within the State Budget.
Furthermore, earlier this month, the Portuguese President of the Republic promulgated the new radio law. The new law increases the minimum broadcasting amount for Portuguese music (now 30%) and adds even more obligations to the radio operators. According to the Association, this is unbearable.
As a result, a considerable number of radio stations chose to protest, hoping they will make enough noise to be heard, and considered.
Staying in Lisbon for a few days and looking for something new to do? I’ve got a great place for you to visit just a 10-minute ferry ride from Cais do Sodré, one of the largest transportation hubs in the city and right in the middle of all the tourist action. It’s called Cacilhas!
Taking the Ferry to Cacilhas
Ferries leave from Cais do Sodré to Cacilhas every 15 minutes from 5:35 am to 1:40 am. These are commuter ferries so taking a ride will make you feel like one of the locals. The last train back from Cacilhas is at 11:30 pm. You can try to get a photo of the Ponte 25 de Abril during your crossing, but it’s honestly best to save your pictures until you reach the other side.
A couple with the Cacilhas ferryboat in the background, Pedro Ribeiro Simões, Flickr
The ferry drops you off right at the intersection of all the fun. Locals often connect to a regional train here that travels further into Almada while a lively mix of tourists and Lisbon residents either turn right and begin walking down the Tagus along the pier or head towards Cacilhas’s main street known as Rua Cândido dos Reis.
When I got off the ferry for the first time in Cacilhas, I honestly wasn’t that impressed with the immediate surroundings. It looks like the pauper compared to the prince across the Tagus in Cais do Sodré. But, as you start walking down the pier and watch the fisherman stare out at the river holding their poles or peek into the abandoned factories and warehouses on your left-hand side, the water just far enough away to not spray up into your face, you will discover the raw charm of Cacilhas. This place feels like a rough-and-tumble adventure with plenty of jaw-dropping beauty along the way.
Fisherman, Matt Leys, Flickr
Let me bring you back to where we got off the ferry because this is the order that I would do things on your day trip to Cacilhas.
1) Lunch First on Rua Cândido dos Reis
There is nothing quite like Cacilhas’s main street in the center of Lisbon. Each time that I visit Cacilhas, I feel like I’m visiting a Greek Island that packs all of its restaurants closest to the harbor in order to make the biggest impression on hungry tourists. Unlike Greece and even the center of Lisbon, the variety of different cuisines on Rua Cândido dos Reis is impressive for a single street and leaves visitors spoiled for choice.
So do you go local and try Portuguese cuisine or do you try one of the many different ethnic cuisines? Of course, it’s entirely up to you, but I prefer Portuguese fusion, which I will recommend in the list below. The great news here is that there is something for everyone. If one of you feels like pizza, another wants octopus, and someone else wants sushi, no one will go home hungry! Let’s take a look at some of the best restaurants on this street.
Restaurante Farol de Cacilhas
“Farol” means “Lighthouse” in Portuguese and sits at the edge of Cacilhas, as the name might suggest, close to where you alight from the ferry. It offers a range of traditional Portuguese dishes including bacalhau assado à lagareiro (codfish with olive oil and baked potatoes) and other fresh seafood dishes. This restaurant provides adequate service, but it is not the best Cacilhas has to offer, in my opinion. So, if you’re looking for something more unique, keep walking down the main thoroughfare.
Os Cunhados
Os Cunhados stands out for its delicious roasted chicken with homemade sauces. Roasted chicken served with piri piri sauce is a favorite meal for the Portuguese people. If you’re a chicken fan and also love a bit of spice, tuck in for some of the best chicken in Lisbon.
Boteco.47
When I mentioned Portuguese fusion earlier, this is actually one of the places that I had in mind. You can choose from a selection of tapas served with an interesting mix of ingredients from friendly, knowledgeable staff. Be sure to try the ceviche, sardines, and a dessert called brigadeiros. The menu changes slightly every day and the staff can explain each dish to you. Try to book ahead if possible.
Kamikaze
So your friend that wants sushi? This is the place. Mind you, it’s not great sushi, but it will do the job. Pad Thai here is another favorite, but it’s not going to taste exactly like you expect in Thailand. Still, it’s impressive that sushi has made it to Cacilhas and you have the option.
Pita Gourmet
This is a Greek chain in Lisbon that has its own branch next door to Kamikaze. Perhaps it opened here because the owners also felt like they had just landed on a Greek Island when they first walked up Rua Cândido dos Reis. If walking around Cacilhas has made you hungry for Greek food, this is the place.
Máfia das Pizzas
If you passed on the Japanese and the Greek, why not try something even more familiar right next to Pita Gourmet – Máfia das Pizzas. That’s right – the mafia have also made it to Cacilhas – and they brought the pizza. Choose from a number of different pizzas and pastas here and have a familiar favorite. I do like the name and, hey, there’s always that moment when you feel like pizza.
Arco Bistro
Keep walking a few buildings past Máfia das Pizzas and you will find Arco Bistro on the right-hand side, one of the newest and highest-quality restaurants on the street. Ladies and gentlemen, we have returned once again…to Portuguese fusion. If you like your food inventive and delicious while also keeping it local, this is the place for you. Try the seabass or octopus with potatoes. You can’t go wrong with the price/quality ratio and the friendly service here.
The Corkman Irish Pub
At the other end of the spectrum and also at the end of the line of restaurants on Cacilhas’ main street lies the Corkman Irish Pub. What more can I say except that they have typical Irish pub food and drinks along with a cheery pub quiz on Sundays? This recommendation is more for those staying in Lisbon for a while. I wouldn’t stop in if it was my first time in Cacilhas.
2) Time to Put on Your Walking Shoes
Once you’ve finished lunch on Rua Cândido dos Reis, it’s time for a walk and some gorgeous views. Walk back towards where you arrived on the ferry and head down the path along the pier. This is where you will see a few fishermen and a line of abandoned warehouses.
Archway, Cacilhas, Achim, Flickr
In case you’re wondering, the area where these warehouses sit has been deemed unsafe for new construction so the buildings remain as remnants of times gone by. Some enterprising people have set up small shops inside these buildings including one vintage/antique shop with a man often trying to bring people in to make a donation. Keep walking and you will reach two restaurants at what appears to be the end of path. Walk past these restaurants for the next stop in our itinerary. We will come back to them later for dinner.
A walk through Cacilhas, forever_carrie_on, Flickr,
Elevador Panorâmico da Boca do Vento
Just beyond Ponto Final, which you have now discovered is not the Final Point, you will see a huge elevator called the Elevador Panorâmico da Boca do Vento. It is free to take the elevator although there can sometimes be a wait. Once at the top, you are greeted with breathtaking views of the river and Lisbon’s skyline. The elevator’s upper platform is an ideal spot for capturing the beauty of Lisbon from a unique perspective.
Elevador Panorâmico da Boca do Vento with Jardim do Rio at the bottom, Colin Hepburn, Flickr
From the top of the elevator, it is possible to walk to Cristo Rei, the famous statue of Jesus Christ with his arms outstretched facing Lisbon. This statue of Christ was patterned after the more famous one in Rio de Janeiro and expresses gratitude for Lisbon and its people escaping the perils of WWII.
Cristo Rei Lisbon, David Lurie, Flickr
Be forewarned, however, that the walk to the statue is around 2 km one way and takes longer than you think. You might want to stop at the elevator itself and arrange to take a car later from the ferry point to reach the statue.
Jardim do Rio
After you get back down the elevator, sprawl out in the lush grass of the Jardim do Rio at its base. Take a break and watch the boats go by along the Tagus River, pull out a book, or enjoy a quiet conversation. You might even be offered a caipirinha by a street vendor or hear a guitarist practicing a new song.
3) Time for Dinner with Beautiful Sunset Views
After you’ve recovered from your walk in Jardim do Rio, it’s time for dinner and the biggest attraction in Cacilhas – the gorgeous sunset views. There is something so relaxing and inspiring about enjoying a glass of Portuguese wine sitting at the edge of the Tagus with the incredible Ponte Abril de 25 in the background. Let’s dive into your two dinner options.
Atira-te ao Rio
The first is called “Atira-te ao Rio,” which translates to “Throw Yourself in the River.” While it has the opposite of a romantic name compared to its more famous neighbor “Ponto Final” (Final Point), the views here are still quite nice and it’s easy enough to walk around the edge of the restaurant and see the views that everyone is getting at Ponto Final. The insider tip here is that it’s much easier to get a reservation at Atira-te ao Rio, which can be done on their website compared to Ponto Final, which only takes phone calls and books out well in advance.
Atira-te ao Rio is celebrated for its rustic charm and dining here feels like a serene escape, with the gentle sounds of the river complementing the tasty dishes. Although you can see Lisbon on the other side of the river, you feel like a world away.
Atira-te ao Rio, encantadíssim, Flickr
Ponto Final
A short walk beyond Atira-te ao Rio leads to Ponto Final, a restaurant with one of the most romantic sunset views of Lisbon. The terrace seating of Ponto Final juts directly over the river, offering diners a unique experience as they enjoy the fresh local cuisine. While the food is delicious, the incredible views and element of discovery when you first turn the corner along the path and spot this restaurant are what give it its cachet. Try to book at least two weeks in advance if you’re trying for the golden hour, which is usually around 8:00-8:30 pm in summer. You might have more luck on a weekday or a slightly earlier dinner time.
Ponto Final, Udo Steinkamp, Flickr
Final Thoughts
Cacilhas is so close to the heart of Lisbon and yet seems like a world away. It has a raw yet traditional vibe that brings you much closer to the river and provides a different experience to the tile-lined narrow streets of central Lisbon. Although it is touristy in its own right, the journey on the ferry and the walk along its abandoned piers will make you feel like one of the locals. I would recommend that you wait for a sunny day to enjoy this day trip to the fullest. For those looking to explore beyond the well-trodden paths of Lisbon, Cacilhas is a destination that should not be missed.
