Takeaways

Keynote Speaker

Armindo Monteiro

• Looking at FDI as an Essential Pillar of Our Economy.
• In 2022, the US was the Largest Source of FDI in Portugal.
• Four Ideas to Strengthen Portugal’s Position in the Global Economic Scenario and Maximize Growth Potential:

1. Maximization of Portugal’s Economic Potential: Portugal has been growing below its potential, presenting an opportunity to objectively maximize this function. Attracting FDI should be a collective effort, identifying and eliminating obstacles such as excessive licensing and regulations by simplifying processes for foreign investors.
2. Transition to a Knowledge and Innovation-Based Economy: Economic growth should be based on value-added projects, focusing on knowledge, technology, and innovation. There is a need to move away from the economic miracle of wealth distribution without its creation.
3. Building Trust and Collaboration: Promoting a culture of trust and collaboration, abandoning the zero-sum paradigm. Encouraging commitments and creating social pacts within a win-win culture.
4. Criteria for Investment Selection: Investment geography selection traditionally focused solely on economic outcomes. However, evolving business plans now consider factors like social responsibility, respect for human rights, and values such as democracy and private initiative. Portugal must leverage its competitive advantages as a reliable and economically responsible investment destination.

Panel Discussions:

Vanda Jesus

• Survey results reveal a positive attitude from American managers, despite wars, elections, and various instabilities. A sign that managers are no longer prepared for a VUCA world (Volatility, Uncertainty, Complexity, and Ambiguity) but for the new BANI world (Brittleness, Anxiety, Nonlinearity, and Incomprehensibility).
• The emphasis on the theme of trust, which exists greatly, especially between the public and the private sector, reinforces the need for transparent and simplified communication as a key to success.
• The impact of the technological economy is between 11 to 17 trillion dollars. Generative AI significantly enhances this value, by 30% to 70%.
• The integration of technology and AI in companies emerges as an essential factor in attracting and retaining young talent, demonstrating adaptation to the preferences and expectations of this generation.

Pedro Penalva

• Risks can be viewed as opportunities, provided they are effectively managed to become competitive advantages. Portugal, given its geographical position, presents optimal conditions to face some of the current global challenges. In addition to trust, stability is a crucial element for Foreign Direct Investment (FDI).
• The role of the State is primarily that of a regulator, while it is the responsibility of companies to create wealth. It is through profit that they can generate jobs, invest in people, increase wages, and reinvest.
• Demographics pose one of the major challenges associated with new phenomena, such as the “Great Resignation” post-COVID and the emerging trend of “quiet quitting” among Generation Z. This relates to the practice of working only as much as necessary for their role, limiting tasks to the job description, eliminating the idea of “living to work” and focusing on working enough to live life.
• A 1% increase in engagement levels can lead to a 2.5% to 3% increase in the company’s EBITDA.
• The relationship between academia and businesses, restructured learning cycles to align with the evolution of life expectancy, and themes of upskilling and reskilling are fundamental.

Tiago Eiró

• The scarcity of labor and the growing concern for sustainability represent challenges that can be converted into opportunities. Investing in talent and maintaining high standards of selection and quality is essential. We are very optimistic.
• American investment in Portugal is long-term. Portugal is on the world’s radar, driving a more dynamic real estate market, even compared to the U.S. where a more cautious “wait and see” approach predominates.
• In a globalized world, changes in the golden visa policies in Portugal become an opportunity for other countries, potentially redirecting investments to competing nations.
• There is a lot of money and liquidity worldwide, and we ourselves are raising capital to invest more. We want to invest in luxury housing, social housing, and housing for young people, as this is a way to create balance in neighborhoods, and that’s what we are doing in Príncipe Real.
• In the U.S., this coexistence is supported by the state and exemplifies a model that can inspire similar diversification in Portugal.
• The arrival of a significant number of Americans in Portugal will contribute to boosting the logic of quality in the real estate market.

About the Event

In a global and national context marked by uncertainties, instability, geostrategic and political tensions, as well as risks of various natures, it is important to understand the opinions and reflections of investors and executives of American companies operating in Portugal. It is crucial to grasp how these leaders perceive the year 2024.

This event brought together some of these CEOs in a discussion about their perspectives, providing valuable insights into strategies and collaborations necessary to navigate successfully through this challenging period. We were also honored to have the participation of the President of CIP, Armindo Monteiro, who shared, in his address, the perspective of Portuguese entrepreneurs, thus complementing the analysis.

Program:

• • 8:30 Welcome Coffee
  • Welcome by António Martins da Costa, AmCham President
  • Expectations of Managers in a Changing World by José Bizarro Duarte, Clients & Markets Partner, PwC Portugal
  • Presentation of survey results from American CEOs
  • A Look at 2024 by Armindo Monteiro, President of CIP
  • Panel discussion with Pedro Penalva (AON), Tiago Eiró (EastBanc Portugal), and Vanda de Jesus (iCapital), moderated by Filipe Alves, Director of Jornal Económico
  • 10:45 Closing