More transactions are masking thinner individual purchases.
Lisbon, August 2026
Foreign tourists in Portugal are spending less on each purchase even as the total value of card transactions continues to rise. The average electronic payment made by an international visitor fell to €35.70 during the first half of 2026, its lowest level since 2019. At the same time, purchases made with foreign cards increased by 6% and exceeded €3.7 billion. The contrast reveals a tourism economy supported by higher transaction volumes rather than stronger spending on each occasion.
The figures, compiled by Turismo de Portugal from payment data, suggest that visitor numbers and purchasing activity remain robust. Tourists are using their cards more frequently, but each operation contributes less money than in previous years. This pattern can emerge when travellers shorten their stays, become more price-conscious or divide expenses into smaller purchases. It may also reflect the growing weight of moderate-budget visitors within Portugal’s tourism market.
British travellers remain the country’s most important foreign spending group. During the first six months of the year, they completed approximately 16 million electronic transactions with a combined value of €518 million. Their leadership reflects the long-established connection between the United Kingdom and Portuguese destinations, particularly the Algarve. Frequent flights, residential links and a mature holiday market continue to sustain that relationship.
Visitors from the United States also rank among Portugal’s most valuable tourism markets, although their consumption pattern differs from that of British travellers. Americans make fewer transactions but spend an average of approximately €45 each time, placing them among the nationalities with the highest payment value per operation. Their behaviour is often associated with longer-distance travel, premium accommodation and higher spending on dining, culture and experiences. The comparison shows why a market cannot be measured only through visitor numbers or transaction counts.
Retail businesses captured the largest share of foreign card spending during the first half of 2026, receiving approximately €1.4 billion. Restaurants generated more than €1 billion, while hotels and other accommodation establishments recorded around €735 million in electronic payments. These figures demonstrate how tourism distributes revenue through several layers of the economy. A visitor’s contribution extends beyond the hotel room into shops, cafés, transportation, entertainment and local services.
Spending remains heavily concentrated in Portugal’s most established destinations. Greater Lisbon accounted for 35.7% of purchases made by foreign visitors, while the Algarve represented another 21.6%. Together, the two regions absorbed more than half of international tourism expenditure recorded through electronic payments. Northern Portugal accounted for only 1.9%, highlighting the persistent imbalance between the country’s tourism centres and less internationally visible territories.
That concentration creates both strength and vulnerability. Lisbon and the Algarve benefit from established infrastructure, global recognition and consistent international demand, but they also face pressure on housing, public services and local prices. Regions receiving a smaller share of visitor spending may have available capacity but lack equivalent transport connections or global promotion. A more geographically balanced tourism strategy could spread revenue without intensifying pressure on the same urban and coastal areas.
The decline in average transaction value does not necessarily indicate that Portugal is losing its appeal. Total foreign card spending is still growing, suggesting that visitors continue to arrive and participate actively in the economy. The concern lies in whether businesses must serve more customers and process more transactions to generate the same level of revenue. If operating costs rise faster than individual spending, larger visitor numbers may not translate into stronger profit margins.
Tourism companies may therefore need to focus less on volume alone and more on the value created by each visit. Experiences linked to gastronomy, culture, nature and local production can encourage spending while distributing benefits beyond traditional resorts. The objective is not simply to persuade tourists to pay more, but to offer activities that retain a greater share of expenditure within local communities. Quality, duration of stay and territorial diversity may prove more sustainable than continuous growth in arrivals.
Portugal’s latest figures reveal an industry that remains commercially powerful but is changing beneath the headline totals. British visitors still provide the largest aggregate contribution, while Americans display a higher value per purchase. Retail, restaurants and accommodation continue to benefit, yet the country depends heavily on Lisbon and the Algarve. The tourism economy is expanding, but each transaction now carries less weight.
The central question is whether Portugal can convert rising activity into deeper and more evenly distributed economic value. More purchases can sustain growth temporarily, but they do not automatically improve wages, business resilience or regional development. The strongest tourism model will be measured not by how many cards are used, but by how much lasting prosperity each journey leaves behind. Volume fills the streets, while value determines what remains after the season ends.
Facts that do not bend. / Hechos que no se doblan.