OCDE - Financing SMEs and Entrepreneurs 2026 - Portugal de 2026

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FINANCING SMES AND ENTREPRENEURS 2026: PORTUGAL © OECD 2026

Key facts on SME financing In 2023, 512,751 non-financial companies accounted for 99.7% of Portugal's busines s sector, marking a 4.7% increase compared to 2022. Growth was recorded across several indicators: employme nt rose by 5.9%, turnover by 3.0%, gross value added (GVA) by 13.6%, and gross operating surplus (GOS) by 13.0%. In 2022, these figures were 5.2%, 24.1%, 18.6% and 24.2% respectively. Large enterprises outperformed SMEs in most economic indicators, except for turnover, where SMEs posted slightly higher growth (4.6% versus 1.1%). In 2024, the total outstanding value of business loans declined by 1.5% compared to 2023. N evertheless, the share of SME loans remained at around 80% of all business loans, maintaining the same level as in previous years. The Portuguese financial system experienced an increase in both short-term and longterm loans. Compared to 2023, short-term loans to SMEs increased by 1.07%, while long-term SME loans increased by 2.1%. Between 2021 and 2024, the proportion of government-guaranteed loans within the total SME loan portfolio fell from EUR 14.014 billion to EUR 5.88 billion, representing a 58.04% decrease. A further significant 43% decrease occurred between 2023 and 2024. Despite a general upward trend over the past two years, the average interest rate for SME loans fell to 5.14% corresponding to a relative decline of 6.4% in 2024, compared to 2023. Investment in venture and growth capital has been highly volatile over the past 10 years. Investment

the past two years, the average interest rate for SME loans fell to 5.14% corresponding to a relative decline of 6.4% in 2024, compared to 2023. Investment in venture and growth capital has been highly volatile over the past 10 years. Investment reached EUR 103 million in 2024, marking a 5.8% increase on the EUR 97 million invested i n 2023. Late payments to SMEs increased by 11.8% in 2024 compared to 2023, rising from an average of 15 days to 17 days. Projections suggest that this trend will continue into 2025. Such delays strain SMEs' cash flow, hindering their growth and sustainability. According to “Intrum's 2025 Report for Portugal ”, 35% of businesses reported that late payments are as problematic as they were during the pandemic , while 50% expect payment risks to increase. The payment gap widened across all segments: B2C increased from 9 to 12 days, B2B from 15 to 17 days, while the public sector remained at 15 days. In terms of bankruptcies, 2024 closed with a 4.9% increase compared to 2023, with 2,299 bankruptcies recorded. This followed an increase of 12% in 2023 (rising from 1928 bankruptcies in 2022 to 2191 in 2023). In 2024, the European Investment Bank (EIB) Group , comprising the EIB and the European Investment Fund (EIF), reaffirmed its commitment to Portugal by providing EUR 2.1 billion in new financing to support the country’s sustainable economic development. This financing contributed to the mobilisation of approximately EUR 4.9 billion in total investment, corresponding to around 1.7% of Portugal’s GDP. The funds were directed to strategic sectors, particularly to enhance access to finance for SMEs and start-ups. Close to 10,000 Portuguese companies benefited from this support, contributing to the pres ervation or creation of nearly 230,000 jobs. A significant proportion of the financing was allocated to projects in line

funds were directed to strategic sectors, particularly to enhance access to finance for SMEs and start-ups. Close to 10,000 Portuguese companies benefited from this support, contributing to the pres ervation or creation of nearly 230,000 jobs. A significant proportion of the financing was allocated to projects in line with climate action and environmental sustainability goals, as well as to inv estments in vital public infrastructure, primarily in the health and transport sectors. More than EUR 1.1 billion was dedic ated to clean energy initiatives, making a substantial contribution to Portugal's green transition. Portugal2 

FINANCING SMES AND ENTREPRENEURS 2026: PORTUGAL © OECD 2026

Table 1. Scoreboard for Portugal Indicator Unit 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Debt Outstanding business loans, SMEs EUR billion

90.3 88.2 87.0 79.7 73.9 70.3 65.9 61.4 57.4 54.0 52.5 58.9 60.8 60.2 57.3 56.5 Outstanding business loans, total EUR billion 101.6 115.8 117.8 114.6 113.8 105.4 99.4 86.5 82.2 77.3 73.1 69.6 67.0 74.0 75.6 75.2 73.3 72.5 Share of SME outstanding loans % of total outstanding business loans

76.61 76.96 76.45 75.68 74.41 81.30 80.13 79.36 78.53 77.63 78.41 79.58 80.41 80 78.27 77.92 New business lending, total EUR billion 64.3 61.8 46.3 45.6 45.0 45.6 49.1 41.2 33.8 29.8 28.8 31.6 27.4 26.3 20.4 24.5 24.0 26.3 New business lending, SMEs EUR billion 28.9 26.4 23.1 22.5 14.2 12.5 11.9 11.9 11.9 11.3 10.9 11.2 21.2 21.2 16.5 19.1 18.6 21.2 Share of new SME lending % of total new lending 44.9 42.78 49.97 49.42 31.63 27.52 24.16 28.79 35.2 37.88 37.74 35.55 36.11 35.28 36.5 33.78 32.19 80.88 Short-term loans, SMEs EUR billion

24.7 22.7 21.3 15.3 13.4 11.5 9.6 9.5 8.9 12.6 11.7 9.0 9.3 10.1 11.1 11.2 Long-term loans, SMEs EUR billion

65.6 65.5 65.7 64.4 60.5 58.8 56.3 51.9 48.5 41.5 40.9 49.9 51.5 50.1 46.2 45.3

Share of short-term SME lending % of total SME lending

27.34 25.77 24.47 19.21 18.13 16.37 14.51 15.43 15.53 23.24 22.23 15.24 15.35 16.8 19.38 19.88 Government guaranteed loans, SMEs EUR million

4 961 6 825 6 147 5 968 5 802 5 461 5 595 5 712 6 068 6 183 6 290 13 580 14 014 11 555 8 413 5 880 Non-performing loans, total % of all business loans 1.5 2.20 3.9 4.10 6 9.40 11.8 14.20 15.2 15.00 12.7 7.79 4.63 3.32 2.3 2.05 2.01 1.85 Non-performing loans, SMEs % of all SME loans

4.67 5.00 7.33 11.76 14.82 16.50 17.89 17.62 14.65 8.80 5.16 3.9 2.68 2.47 2.47 2.32 Interest rate, SMEs % 7.05 7.64 5.72 5.45 7.41 7.59 6.82 5.97 4.6 3.83 3.42 3.13 2.42 2.02 2.04 2.92 5.49 5.14 Interest rate, large firms % 5.29 5.92 3.88 3.78 5.4 5.43 4.97 4.37 3.25 2.69 2.14 1.93 1.61 1.57 1.77 2.14 4.89 4.94

Interest rate spread Percentage points 1.76 1.72 1.84 1.67 2.01 2.16 1.85 1.60 1.35 1.14 1.28 1.20 0.81 0.45 0.27 0.78 0.6 0.2 Collateral, SMEs % of SMEs needing collateral to obtain bank lending

76.25 81.16 82.63 82.15 83.09 80.14 81.84 79.60 80.98 83.13 86.95 89.88 89.6 88.69 88.34 77.18 Non-bank finance Venture and growth capital EUR million 84 70 35 22 53 106 100 88 17 27 30 69 43 67 77 97 103 Venture and growth capital %, Year-on-year growth rate -34.9 -16.7 -50 -37.1 140.9 100 -5.7 -12 -80.7 58.8 11.1 130 -37.7 55.8 14.9 26 5.8 Leasing and hire purchases EUR million

5 324 5 242 3 442 3 037 2 666 2 425 2 345 2 295 2 175 2 204 1 879 1 866 467 497 506 504 Factoring and invoice discounting EUR million

621 733 402 338 376 476 547 441 418 930 855 513 99 113 190 185 Other indicators Payment delays, B2B Number of days 33 35 37 41 40 35 33 21 20 20 12 18 12 12 13 15 17

Other indicators Payment delays, B2B Number of days 33 35 37 41 40 35 33 21 20 20 12 18 12 12 13 15 17 Bankruptcies, total Number 3 528 3 815 4 091 4 746 6 688 6 030 4 019 4 683 3 582 3 008 2 610 2 493 2 464 2 195 1 928 2 191 2 299 Bankruptcies, total %, Year-on-year growth rate 35.07 8.13 7.23 16.01 40.92 -9.84 -33.35 16.52 -23.51 -16.02 -13.23 -4.48 -1.16 -10.92 -12.16 13.64 4.9

Source: See Table 4. 3

FINANCING SMES AND ENTREPRENEURS 2026: PORTUGAL © OECD 2026

Macroeconomic and financing conditions In 2024, the Portuguese economy was significantly impacted by a complex interplay of factors, primarily the ongoing recovery from the pandemic, the escalating consequences of Russia's invas ion of Ukraine and changes in central bank monetary policy. The war in Ukraine caused a sharp r ise in energy and food prices, as well as broader inflationary pressures. This had a significant impact on consumer spending and business investment in Portugal. Nevertheless, the Portuguese economy grew by 1.9% in 2024 , surpassing the euro area average and maintaining macroeconomic stability. However, econo mic activity slowed in 2024 due to weak investment dynamics, which were constrained by uncertainty and geopolitical tensions. Inflation fell further to 2.7% in 2024, down from 5.3% in 2023, bringing it clos er to the European Central Bank's (ECB) medium-term target of 2%. Employment remained high, continuing to ben efit from

tensions. Inflation fell further to 2.7% in 2024, down from 5.3% in 2023, bringing it clos er to the European Central Bank's (ECB) medium-term target of 2%. Employment remained high, continuing to ben efit from positive net migration. The unemployment rate remained stable at 6.4%. Pr eliminary annual results for 2024 show increases of 2.5% in exports and 1.9% in imports (compared to respective de creases of 1.4% and 4.0% in 2023), while the trade deficit increased by EUR 78 million to EUR 27.8 87 billion. Excluding fuels and lubricants, exports and imports increased by 2.0% and 3.0%, respectively, in 2024 (compared to +0.7% and +1.7%, respectively, in 2023). The trade balance deficit, excluding fuel s and lubricants, increased by EUR 1.328 million to EUR 21.909 million in 2024. SMEs in the national economy According to the “2024 SME Portugal Fact Sheet” published by the European Commission, which is based on national and Eurostat databases, SMEs accounted for 99.7% of all companies in Portugal in 2023. They continued to recover from the pandemic, experiencing increases of 11.6% in va lue added and 2.0% in employment in 2024. However, because growth in value added is not adjusted for inflation, r eal growth was lower, at just 1.0%, amid high inflation. Small enterprises saw the largest increase in value added (14.5%), while SMEs were the only size-class to experience a decline in employ ment (0.8%). Forecasts suggest that SME employment in Portugal will grow by 1.8% in 2024, while value added is expected to increase by 4.8%. Table 2. Distribution of firms in Portugal, (2018-2023) 2018 2019 2020 2021 2022 2023 Firm size

increase by 4.8%. Table 2. Distribution of firms in Portugal, (2018-2023) 2018 2019 2020 2021 2022 2023 Firm size (employees) Nr. % Nr. % Nr. % Nr. % Nr. % Nr. % SMEs (1-249) 412,57 99.7% 437,668 99.7% 449 166 99,7% 467 431 99,7% 487 371 99,7% 511 201 99,7% Micro (1-9) 364,074 88.0% 387,001 88.2% 399 120 88,60% 415 888 88,70% 432 540 88,50% 453 593 88,50% Small (10-49) 41,65 10.1% 43,492 9.9% 42 984 9,50% 44 139 9,40% 46 823 9,60% 49 231 9,60% Medium (50249) 6,844 1.7% 7,175 1.6% 7 062 1,6% 7 404 1,6% 8 008 1,6% 8 377 1,60% Large (250+) 1,199 0.3% 1,291 0.3% 1 250 0,3% 1 315 0,3% 1 436 0,3% 1 550 0,3% Note: Includes only non-financial business sector. Companies with only one employee are excluded.

Source: Statistics Portugal, IP4 

FINANCING SMES AND ENTREPRENEURS 2026: PORTUGAL © OECD 2026

SME lending

550 0,3% Note: Includes only non-financial business sector. Companies with only one employee are excluded.

Source: Statistics Portugal, IP4 

FINANCING SMES AND ENTREPRENEURS 2026: PORTUGAL © OECD 2026

SME lending Between 2023 and 2024, new business lending to SMEs increased by 12.3%. The proportion of new SME lending increased by 0.5% in 2023 and by 4.04% in 2024, whereas total business loans decreased by 2.7% in 2023 and by 1.03% in 2024. The proportion of short-term SME lending increas ed by 13.3% in 2023 and by 2.5% in 2024. During this period, banks became more risk-averse, resulting in more restrictive credit conditions for SMEs. The proportion of government-guaranteed loans within the total SME loan portfolio increased steadily until 2021, reflecting sustained public efforts to improve SME access to finance. However, from 2022 until 2024, the proportion of government-guaranteed loans declined signific antly. During this period, the total value of government-guaranteed loans fell by 49%. Credit conditions Between 2021 and 2024, banks increasingly tightened lending conditions for companies, especially SMEs. This trend was largely influenced by economic uncertainties, inflationary pressures, and regulatory adjustments or changes. The proportion of collateral bank lending increased by 0.52% between 2023 and

2024. There has been a steady increase of 6.05% from 2021 to 20241 . Consequently, the average interest rate for SME loans increased from 2.92% in 2022 to 5.49% in 2023, an increase of 2.57 percentage points.

In 2024, it declined slightly to 5.14%, down by 0.35 percentage points compared to 20 23, equivalent to a relative decrease of around 6.4%. Over the same period, the interest rate spread narrowed , falling from

In 2024, it declined slightly to 5.14%, down by 0.35 percentage points compared to 20 23, equivalent to a relative decrease of around 6.4%. Over the same period, the interest rate spread narrowed , falling from 0.78 percentage points in 2022 to 0.60 percentage points in 2023 and further to 0.20 percentage points in

2024. Overall, the spread declined by 0.58 percentage points between 2022 and 2024, corr esponding to a reduction of around 74.4%.

Alternative sources of SME financing Venture and growth capital has fluctuated over the past decade. However, over the past four years, there has been an increase, peaking at EUR 103 million in 2024 , a rise of 5.8%. A more detailed analysis by business stage shows that early-stage businesses were by far the largest recipients in both years, with EUR 45.8 million transacted in 2023 and EUR 56.3 million invested in 2024. Table 3. Equity capital invested by business stage in Portugal (2014-2024) in EUR million Stage 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Early stage 40,5 52,3 16,1 15,1 21,5 37,3 36,4 44,8 60,4 45,8 56,3 Seed 6,4 4,9 3,4 2,0 2,6 10,5 10,2 7,2 23,9 9,3 14,8 Start up 34,1 47,3 12,8 13,1 18,9 26,8 26,2 37,6 36,5 36,6 41,5 Later stage 4,9 19,5 1,6 5,1 2,5 15,1 2,7 3,9 10,5 6,3 37,2

Later stage 4,9 19,5 1,6 5,1 2,5 15,1 2,7 3,9 10,5 6,3 37,2 Total 45,4 71,8 17,7 20,2 24,0 52,4 39,1 48,7 70,9 52,1 93,5

Source : Invest Europe 5

FINANCING SMES AND ENTREPRENEURS 2026: PORTUGAL © OECD 2026

Other indicators Late payments can compromise cash flow and reduce liquidity, preventing companies from investing, paying salaries and meeting their financial obligations. This puts additional pressure on companies, particularly SMEs, which are already under strain due to geopolitical instabil ity and global supply chain disruptions. These companies are now relied upon to drive innovation and create jobs. One of the main causes of cash flow issues for SMEs is late payment. SMEs have narrower mar gins and less financial resilience. On average, payment delays have decreased from 33 days in 2014 to 17 days in 2024. While there has been a sustained decline over the last ten years, there has also been a slight increase from 2021 (12 days of delay) to 2024 (17 days of delay). According to “Intrum's Portugal Payment Report 2025”, prepayment remains the most widely adopted preventive measure (47%), though this marks a slight decrease from 51% in 2023. Meanwhile, the use of credit control and insurance has remained stable at 30%, while the use of bank guarantees has increased significantly, rising from 19% in 2023 to 29%. There has also been an increase in fraud prevention, rising from 19% in 2023 to 24% in 2024. Government policy response Three years on from Russia’s large scale aggression in Ukraine, the European Union is still committed to ensuring security, resilience and economic stability. The ongoing aggression has highlighted the urgent

has also been an increase in fraud prevention, rising from 19% in 2023 to 24% in 2024. Government policy response Three years on from Russia’s large scale aggression in Ukraine, the European Union is still committed to ensuring security, resilience and economic stability. The ongoing aggression has highlighted the urgent need to strengthen the resilience of SMEs against hybrid threats, including cyberatt acks. The effects of the aggression in Ukraine on global supply chains are particularly evident in th e Portuguese economy. These include constraints directly associated with shortages of materials and essential producti on components, including energy goods. Another challenge that arose from this war was the need for the European Commission and the Member States to provide increased financial support to the defence sector. The Portuguese government has recently pledged to allocate 5% of its GDP to defence spending over the next ten years (until 2035). The European Commission has launched calls for proposals on this subject. Appli cations for the European Defence Fund under the EDF Work Programme 2025 are open until 16 October 2025, including 13 calls associated with STEP (Strategic Technologies Platform for Europe), with a total allocation of EUR 355 million. The aim of these calls is to support research and development projects focused on the development of critical defence technologies and capabilities in all military domains (including land, air, naval, space, and digital), particularly in the following areas: i) Digital ship and nav al combat cloud; ii) Multifunctional Information Distribution System; iii) Multiband 4D Radar; iv) Improved cyber defenc e operations capabilities; v) Naval hybrid propulsion and power systems; and vi) Technologies for optronic detectors . Portugal2030 Portugal is also stepping up financial support for ongoing projects funded by the Recovery and Resilience Plan (RRP), which has an overall budget of EUR 22.2 billion of European fund ing. This includes the Mobilizing and Green Agendas, with a EUR 6.5 billion of contracted investme nt. Dedicated calls are also

Plan (RRP), which has an overall budget of EUR 22.2 billion of European fund ing. This includes the Mobilizing and Green Agendas, with a EUR 6.5 billion of contracted investme nt. Dedicated calls are also planned in the field of defence under Portugal 2030 (PT2030). PT2030 is a financial support programme established in 2021 under the Partnership Agreement between Portugal and the European Commission, with an overall budget of EUR 23 billion of European funding. It should be noted that the RRP supports private and public companies, research and development (R&D) entities, univers ities, municipalities , among others, to achieve sustainable growth and overcoming the dual challenges of the green and digital transitions. These projects aim to foster the development of new, high-value products, processes , and services by leveraging knowledge and technology. They seek to accelerate the structural transformation of the Portuguese economy, enhance its specialisation profile and strengthen national value chains,6 

FINANCING SMES AND ENTREPRENEURS 2026: PORTUGAL © OECD 2026

thereby advancing the green transition and promoting environmental sustainability. PT2030 is a strategic tool designed to support companies, R&D entities, local authorities, public bodies, individua ls, etc. Between 2021 and 2027, PT2030 will finance projects that stimulate economic growth and development, employment, qualifications, inclusion, and demography towards the European Union's fiv e strategic objectives of creating a smarter, greener, better-connected, and more socially inclusiv e Europe that is closer to its citizens. The external pressures above referred have led to interest rate rises that are unpreceden ted at an international level in recent decades. This poses enormous challenges for Portuguese c ompanies, requiring them to strengthen their ability to respond to adverse situations and inc rease their resilience. These challenges are further exacerbated by the ever-growing pressures of cybersecurity, digitalis ation, climate change and sustainability. InvestEU As part of the InvestEU programme , an initiative designed to mobilise investment, support economic

requiring them to strengthen their ability to respond to adverse situations and inc rease their resilience. These challenges are further exacerbated by the ever-growing pressures of cybersecurity, digitalis ation, climate change and sustainability. InvestEU As part of the InvestEU programme , an initiative designed to mobilise investment, support economic recovery, and shape the future economy , the Portuguese Development Bank (Banco Português de Fomento) has developed and implemented several guaranteed lines. These include the Guarantee Line for SMEs and Small Mid-Caps (EUR 2.56 billion); the Guarantee Line for Sustainable Urban Mobility (EUR 284 million); and the Guarantee Line for Research, Innovation and Digitalisation (EUR 711 milli on). The European Investment Fund (EIF) has launched several programmes to support Portuguese SMEs:

1. Portugal Tech I (2018 –2024) - a EUR 100 million venture capital initiative co-funded by the Portuguese government and the EIF, focusing on early-stage technology-based companies an d technology transfer. The initiative aims to mobilise substantial private investment in the Portuguese startup ecosystem; ii. Portugal Tech II (2022 –2026) - a follow-up programme totalling a further EUR 100 million, with the objective of mobilising around EUR 250 million in private investment. It continue s to focus on innovative, technology-driven start-ups; iii. Portugal Growth (2020–2025) - a EUR 100 million private equity programme aimed at supporting the growth and internationalisation of established Portuguese companies. It seeks to attract up to EUR 300 million in total investment; iv. Portugal Blue (2020–2026) - a EUR 50 million venture capital initiative to foster the blue economy by investing in companies at all stages of development, including the early stages and the growth phase, that operate in sectors such as ocean technology, sustainable fisheries and ma rine biotechnology.

Economy Acceleration Programme In July 2024, the Portuguese government launched the “Programa Acelerar Economia ” to boost the country's economic growth. The programme aims to strengthen the

phase, that operate in sectors such as ocean technology, sustainable fisheries and ma rine biotechnology. Economy Acceleration Programme In July 2024, the Portuguese government launched the “Programa Acelerar Economia ” to boost the country's economic growth. The programme aims to strengthen the resilience of SMEs, stimulate innovation and competitiveness, and foster job cre ation. The programme focuses on four main areas: scaling up, consolidation, capitalisation and financi ng; innovation, entrepreneurship and talent; sustainability; and sectoral densification, reindustr ialisation and integration and encompasses 60 measures. Key aspects include reducing the corporate tax rate from 21% to 15% by 2027, with an interim reduction to 19% in 2025. Tax incentives are also in place, i ncluding enhanced deductions for investments in research and development (R&D), capital gains and dividends, to encourage business capitalisation and innovation. One of the measures is the “Innovative Suppliers Network”, which aims to promote the creation of innovation consortia led by appropriately sized c ompanies and involving SMEs and R&D centres. These consortia will develop and supply innovativ e medium/high-technology goods and services to industrial production centres. 7

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Early Warning Mechanism (MAP) It is also worth highlighting the Early Warning Mechanism (MAP), launched by IA PMEI (the Portuguese Agency for Competitiveness and Innovation). This tool helps SMEs to understand how their economic and financial performance compares to that of other companies in their sector and of a similar size. It evaluates SMEs' financial and economic performance over the last three financial years using qualitative and trend analyses. It identifies their main challenges and suggests ways to improve the ir overall performance. The tool aims to foster financial literacy among companies and entrepreneurs, enabling them to make betterinformed decisions and manage more efficiently, thereby preventing company failure. In 2023, 202 982 of

analyses. It identifies their main challenges and suggests ways to improve the ir overall performance. The tool aims to foster financial literacy among companies and entrepreneurs, enabling them to make betterinformed decisions and manage more efficiently, thereby preventing company failure. In 2023, 202 982 of the assessed companies were micro, 43 683 were SMEs and 786 were small mid-caps. SME Leader Programme Another key national initiative is the 'SME Leader' programme, which is run by IAPMEI and Turismo de Portugal in partnership with several Portuguese banks and mutual guarantee societies. The programme uses a transparent and objective scoring mechanism to identify and distinguish nat ional SMEs with stronger risk profiles. The programme aims to promote excellence throughout the e ntire SME financing ecosystem. SME Leader status, awarded by IAPMEI, recognises the high performanc e of Portuguese SMEs and is a seal of reputation. Portuguese SMEs. Partner banks and mutual guara ntee societies also contribute to the selection process, which is based on economic and financial indicators, as well as strong credit ratings. Companies awarded SME Leader status gain access to a range of exclusive benefits, including preferential conditions for financial products, access to specialised sup port services, improved relationships with financial institutions and enhanced credibility when dealing with customers, suppliers and other stakeholders. In 2023, 11 368 companies were awarded SME Leader status. This f igure increased to 13 394 in 2024, marking a rise of 17.82%. These companies had a turnover of over EUR 61 billion, exported goods worth over EUR 10 billion and created over 429 000 jobs. Smal l companies predominated, accounting for 71.9% of all SME Leaders in 2024, followed by medium-s ized companies (22.3%) and micro companies (5.8%). According to the “SME Performance Review 2025” , the performance of European SMEs is essential for maintaining the stability and dynamism of the EU economy. The number of SMEs is projected to grow by

(22.3%) and micro companies (5.8%). According to the “SME Performance Review 2025” , the performance of European SMEs is essential for maintaining the stability and dynamism of the EU economy. The number of SMEs is projected to grow by an average of 1.2% annually, demonstrating continued confidence in entrepreneurial activ ity across Europe. However, there are ongoing risks, such as the implications of new trade tensions, including recent tariff announcements from the US. Consequently, it is crucial to invest in digital security through EU-funded programmes to protect the foundation of Europe’s economy.8 

FINANCING SMES AND ENTREPRENEURS 2026: PORTUGAL © OECD 2026

Figure 1. Trends in SME and entrepreneurship finance in Portugal

Note: Interest rates on new loans up to EUR 1 million (prior to 2010) and loans up to EUR 0.25 million (in 2010) are used as proxy for SME loans. Data on interest rates cover only loans granted by banks.

Source: See Table 4

0 10 000 20 000 30 000 40 000 50 000 60 000 70 000 80 000 90 000 2016 2017 2018 2019 2020 2021 2022 2023 2024

A. SME and total Business loans Annual, in EUR million Business loans, SMEs Business loans, total

0 1 2 3 4 5 6 2016 2017 2018 2019 2020 2021 2022 2023 2024

B. SME interest rate and interest rate spread Annual, as a percentage and in percentage points Interest rate, SMEs Interest rate spread

0 10 000 20 000 30 000 40 000 50 000 60 000 70 000 80 000 90 000 100 000 2016 2017 2018 2019 2020 2021 2022 2023 2024

E. Venture capital invested in SMEs Annual, in EUR million Venture capital

• 35
• 30
• 25
• 20
• 15
• 10
• 5

0 5 10 15 0 500 1 000 1 500 2 000 2 500 3 000 3 500 4 000 2016 2017 2018 2019 2020 2021 2022 2023 2024

F. Bankruptcies Annual, number (LHS) and as a percentage (RHS) Bankruptcies, SMEs Bankruptcy growth rate (% year on year)

0 5 10 15 20 25 -1 000 1 000 3 000 5 000 7 000 9 000 11 000 13 000 15 000 2016 2017 2018 2019 2020 2021 2022

C. Government guaranteed SME loans, In EUR million (LHS) and as a percentage of total SME loans (RHS) Volume government guaranteed SME loans Government guaranteed loans, % of SME business loans

0 2 4 6 8 10 12 14 16 18 20 2016 2017 2018 2019 2020 2021 2022 2023 2024

D. Non-performing loans Annual, as a percentage of all loans Non-performing loans, SMEs Non-performing loans, total 9

FINANCING SMES AND ENTREPRENEURS 2026: PORTUGAL © OECD 2026

Table 4. Sources and definitions of Portugal’s Scoreboard Indicators Definition Source Debt Business loans, SMEs

Non-performing loans, total 9

FINANCING SMES AND ENTREPRENEURS 2026: PORTUGAL © OECD 2026

Table 4. Sources and definitions of Portugal’s Scoreboard Indicators Definition Source Debt Business loans, SMEs Performing and non-performing loans outstanding granted by banks and other financial institutions. Performing loans do not include Factoring without recourse. Small and medium sized companies are defined as companies with less than 250 employees and a turnover below EUR 50 million, excluding holding companies. Includes non-employer firms. Bank of Portugal, Central Credit Registry Business loans, total Performing and non-performing loans outstanding granted by banks and other financial institutions. Performing loans do not include factoring without recourse. Includes non-employer firms. Bank of Portugal, Central Credit Registry Short-term loans, SMEs Performing loans; maturity up to 12 months. Excluding holding companies and sole traders. Bank of Portugal, Central Credit Registry Long-term loans, SMEs Performing loans; maturity more than 12 months. Excluding holding companies and sole traders. Bank of Portugal, Central Credit Registry Government guaranteed loans, CGF Government guaranteed loans to SMEs by the public Mutual Counterguarantee Fund. Portuguese Dev