"Confidence in the economic future of the Azores" reinforced with new private investments, highlights José Manuel Bolieiro - Communication

Presidência do Governo Regional

The President of the Regional Government, José Manuel Bolieiro, chaired today the ceremony of laying the foundation stone for the Azores Retail Park in Ponta Delgada, a project that reflects the investors' confidence in the Region's sustainable growth.

This investment, amounting to 40 million Euros, is promoted by Vigent, a Portuguese business group with origins in metalworking that has diversified its operations over the years to include sectors such as the maritime industry and real estate. Present in more than 15 countries, Vigent currently employs 2,240 workers and expects to reach a turnover of 1,000 million euros by 2024, demonstrating the strength of an expanding group and its commitment to the archipelago.

The Azores Retail Park will include 11 commercial units and 800 car parking spaces. It will have a significant impact on job creation. During the construction phase, it is estimated that around 200 jobs will be created, to which another 550 direct and indirect jobs will be added during the operation phase.

José Manuel Bolieiro emphasised the importance of investments of this kind, as they contribute to the development of the regional economy without relying on public subsidies, which reinforces the role of the private sector as a driving force for progress.

"It is good to count on investments that do not depend on public funding to make development happen," said the President of the Government. 

He also stressed that the launch of this project is a clear symbol of "confidence in the economic future of the Azores," the result of public policies that create a favourable environment for investment.

The head of the Azorean Government took the opportunity to highlight the results of the Azores' sustained economic growth, reflected in various indicators.

The Azorean economy has been growing consecutively for 40 months, according to the Economic Activity Indicator, and real regional Gross Domestic Product (GDP) grew at an average of 7.1% a year between 2020 and 2022, surpassing the national average of 6.3%. This growth meant that the regional GDP per capita reached 89.7% of the national figure and 70.6% of the European Union average, the highest figures since 2016. The economic growth is also reflected in the labour market, with the third quarter of 2024 recording a total of 120,200 employed people, the highest figure ever and an increase of 5.2% compared to the same period in 2023.

The Salary Increase Support Mechanism (MAIS) has benefited 19,799 workers among 2,438 employers. In turn, the Contratar measure has supported the hiring of 4,929 workers, 87% of whom are under employment contracts of indefinite duration, promoting labour stability. Under the + Youth package, 91 qualified young people have settled in the Region with financial incentives that recognise academic merit and value income from work, encouraging talents to remain in the Region. In addition, effective tax policies have helped retain capital in the local economy. In 2023 alone, about 190 million euros were saved through the tax differential applied to VAT, Personal Income Tax and Corporate Income Tax.

As for the tourism sector, the performance was equally impressive, with the number of passengers disembarking at Azorean airports growing by 25.5% between 2019 and 2023, while overnight tourist stays increased by 28.3% over the same period, consolidating the Region as a destination of excellence.

José Manuel Bolieiro stressed that the balance between government intervention and encouraging private investment is essential for the Region's progress.

"Boosting the confidence and experience of private investors has, through their investment, contributed to the collective development of the Azores. This is how we mature our economy and society," he said.

The head of the Government emphasised that a government that acts efficiently and only when necessary can create the conditions for a more autonomous society and a more mature economy.

"Less government can mean a better society and a better economy," he concluded, reiterating the Regional Government's commitment to continuing to foster an environment of trust and opportunities for investors.

The laying of the foundation stone for the Azores Retail Park is another milestone on the road to economic growth and sustainable development in the Autonomous Region of the Azores, reinforcing its attractiveness and competitiveness on the national and European scene.