Portugal's rise in tech industry creates a housing crisis

Portugal’s rise in tech industry creates a housing crisis

Portugal in the past year has emerged as a most liked destination for major technological conglomerates. With major names like Google, Amazon, Microsoft making their way to Portugal it is a potential ground for a new tech revolution.

Portugal has become a new hotspot for investors due to its impeccable standard of living and amazing education which has led to the rise of the tech industry in the nation. Although this has proven quite beneficial and essential to the economy this has also led to a crisis in the housing sector which is now spreading beyond the cities of the country. Also not helping the crisis is the tourism boom of the country which is currently peaking at an alarming rate. With tech giants like Google and Microsoft establishing centres in Portugal this housing crisis is only expected to rise as more and more foreign people will approach the country in lieu of working or collaborating with these tech giants in their research and development. Housing transactions doubled from 2014 to 2018 in Portugal. Portugal’s homeless population increased to 4,400 people in November 2018 according to one survey, while a further 11,000 people are deemed at major risk of being made homeless.  Of the number of homeless nationally, 45 percent are now based in the Lisbon area.

While the tech industry in Portugal is flourishing, the housing crisis is increasing at an alarming rate. The Portuguese administrations are said to be working on the issue. Portugal’s technological market has contributed vastly to its growing economy with the rise in foreign tech investments.