Portugal's exports seen hitting new record despite Angola slump
By Andrei Khalip and Sergio Goncalves
LISBON (Reuters) - Portugal's exports should pick up steam and hit a new record this year despite a steep fall in sales to Angola, which is likely to be short-lived, the head of the state agency for promotion of exports and investment (AICEP) said.
Miguel Frasquilho is also optimistic 2014's foreign direct investment of 6 billion euros (4.3 billion pounds) - the highest since 2006 - could be surpassed this year, adding to economic growth. There are over 2 billion euros in real FDI intentions, excluding financial instruments, for 2015 and 2016, he said.
Overall export growth "will accelerate even with the Angola situation", he told Reuters, estimating an increase of more than 4 percent in 2015 after a rise of around 3 percent last year to record highs. That would take exports to 42 percent of GDP, up from 40 percent in 2014 and just 28 percent five years ago.
Portugal's former colony Angola is now its fourth-largest export market. But Africa's no. 2 oil producer has suffered from a sharp fall in world oil prices, and exports to a more frugal Angola slumped by more than a quarter in January.
"We expect that the Angola situation will slowly reverse," he said. "There's been some stabilization ... The worst fears of quotas and tax on capital transfers have not come to be."
(Reporting By Andrei Khalip)
