Business association boss laments stagnant growth despite million immigrants

The president of a leading Portuguese business association has indirectly slammed Portugal’s immigration policy by suggesting the majority of those coming into the country are not generating wealth and innovation to companies.

Armindo Monteiro, the President of the Business Association of Portugal (CIP) has criticised “Portugal’s “open-door” policy without “taking into consideration the needs of Portugal’s economy”.

Monteiro reminded that the head of a leading Portuguese bank, Paulo Macedo, the CEO of the public-owned Caixa Geral de Depósitos, had warned that the “next decade would define if Portugal stagnated or converged”.

The industry boss whose organisation represents some , has long said that company bosses want to have an active voice on immigration.

Armindo Monteiro has suggested the German model in which the German Business Confederation actively participates in immigration debates and indicates which sectors are lacking labour.

“With an additional million people in the workforce, our Gross Domestic Product (GDP) has grown anemically,” states Armindo Monteiro, arguing that immigration needs to be discussed and that the CIP should be included in discussions regarding the entry of people into Portugal for work, as he believes the flow of labour has not contributed equitably to economic growth.

However, he notes that “immigration is the only way to solve the labour shortage,” since a rise in the birth rate is not a viable solution, adding that “we cannot bring people here solely to work, but also to live; this requires ensuring adequate conditions for healthcare, education, and security.”

In recent years tens of thousands of immigrants, many from the Indian subcontinent, have arrived in Portugal where they have largely sustained the mobility (Uber and Bolt), hospitality (hotels and restaurants), retail, and agricultural sectors.

Sources: Público, Observador and CNN Portugal