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The last few days have been 'rich' in economic indicators that allow us to already understand how the Portuguese economy is reacting to the pandemic. In addition, preliminary indicators from last year already show the effects of Covid-19 on public accounts.

1. Number of unemployed registered in employment centres rises 36.8% in February

The number of unemployed registered in employment centres increased by 36.8% in February year-on-year to 431,843 unemployed and 1.8% compared to January, according to data released by the Institute for Employment and Vocational Training (IEFP).

At regional level, in February, unemployment increased in all regions of the country. Of the homologous increases, it signals, the most pronounced was in the Algarve region (with 74.4% more), followed by Lisbon and Tagus Valley (with 52.9%) and the Madeira region, with an over 30.4%.

2. Third wave worsens deficit by 2.504 million by February

The general government deficit in Portugal was €1.153 million by February, an increase of 2,504 million compared to the same period last year, the Ministry of Finance said.

The Ministry led by João Leão adds that "the degradation of the deficit reflects the significant contraction of revenue (-11.8%) and the strong growth in primary expenditure (+6.9%)", reflecting the negative impacts on the economy and support measures in the pandemic.

3. Total IHR beneficiaries increased by almost 3,000 in the last month

The total number of social inclusion income (IHR) beneficiaries increased by almost 3,000 benefits in the last month to the 214,239 supported people and families, according to official Social Security statistics.

February's 214,239 beneficiaries represent a growth compared to January, when 211,398 Rsi benefits were paid.

4. Indebtedness of the economy kicks off the year at 743.7 billion

The indebtedness of the economy decreased at the start of 2021. According to Banco de Portugal (BdP), the indebtedness of the non-financial sector stood at 743.7 billion euros in January, compared to the record of 745,777 million in December 2020.

5. Portugal closes 2020 with deficit of 5.7% of GDP

After the first surplus in democracy in 2019, Portugal returned to the deficit last year. The first estimate of the National Institute of Statistics (INE), released on Friday, points to a deficit of 5.7% at the end of last year.

The finance minister also said the pandemic will entail a review of economic growth this year and praised entrepreneurs, workers and families for the "admirable resilience", which contributed to a smaller than expected deficit.

In noticiasaominuto.com | March 29, 2021