For Portuguese entrepreneurs and managers, these two factors send a clear message: the country is well positioned to seize structural stimulus, and companies can (and should) align to make the most of this environment.

Why this is good news for businesses
1. Increased public investment attracts private investment
When the government channels PRR funds and activates investment mechanisms, it opens the door for companies to launch new projects, expand operations, or accelerate innovation. Portugal’s presence in the economic “Top 10” signals scale and critical mass in these initiatives.

2. Strong focus on R&I = Opportunity for innovators
Portugal’s emphasis on R&I dedicating 17% of the PRR to this area and involving over 1,247 entities in mobilizing agendas shows a genuine drive to modernize, digitalize, research, and develop. For companies, this translates into strong prospects for funding applications, partnerships with universities or tech centers, and launching new supported products or services.

3. A landscape of economic and competitive transformation
The direct estimated impact of nearly €17 billion on Portugal’s GDP through the PRR demonstrates that this is more than temporary subsidies; it's a structural investment package capable of reshaping value chains, strengthening production capabilities, and opening new markets. For well-positioned companies, this means a potential competitive advantage over those that fail to act.

4. A signal of international confidence
Being among the top ten PRR beneficiaries sends a clear message to clients, suppliers, international partners, and investors: Portugal is a future-oriented market, with supportive policies and strong growth ambition. This can improve access to capital, alliances, and internationalization opportunities.

How companies can act: Six practical recommendations
To make the most of this momentum, Portuguese SMEs and business leaders should consider the following strategies:

• Map PRR instruments relevant to your business
  Monitor current and upcoming funding calls such as R&I, digitalization, energy efficiency, and circular economy. Stay alert to the PRR’s milestones and deadlines; the Commission has warned of delays, so being ready is an advantage.
• Align innovation and growth strategies with the national agenda
  If your company has R&D capabilities or potential partnerships (e.g., with universities or research centers), consider joining or creating projects within the mobilizing agendas already in place. Many companies are already involved.
• Medium-term planning with a focus on execution
  Funds only create value when used. The Commission highlights that a significant share of the PRR budget remains undisbursed and urges faster implementation efforts. Companies should prepare realistic schedules and ensure they have the human and technological resources to deliver.
• Strengthen skills and capacities
  One major bottleneck identified in R&I implementation is the shortage of highly qualified workers. Businesses should invest in training or talent acquisition to meet the demands of complex projects.
  Create synergies between public and private investment
  Identify where your company’s projects can connect with PRR-funded initiatives (e.g., value chains, public procurement, subcontracting). The “multiplier effect” of public investment can generate additional business opportunities.
• Monitor and report rigorously
  PRR milestones are strictly evaluated by European bodies. Companies involved in PRR-related projects must ensure robust monitoring, control, and reporting systems. Delays or non-compliance could risk funding eligibility.

To make the most of this phase, there are three key takeaways for Portuguese businesses and entrepreneurs:

• Portugal ranks among the European countries with the greatest expected PRR gains, opening a genuine window of opportunity.
• R&I, digitalization, and productive modernization are clear national priorities those who act early will gain an edge.
• Opportunity requires action: meet deadlines, mobilize resources, innovate, build teams, and plan effectively.

If you’re an entrepreneur or manager seeking growth, new markets, innovation, or stronger competitiveness, now is the time to accelerate decision-making, seek funding, and position your business to maximize the PRR’s benefits.

Need assistance? Our consultants can help you identify the most suitable incentives for your business and prepare successful funding applications.

Andreia Arenga
23.10.2025

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