Lisbon, March 30, 2026 (Lusa) - Portugal's consumer confidence indicator fell in March to its lowest level since December 2023, while the economic climate indicator dropped to a one-year low amid the Middle East conflict.

Monday's surveys from the National Statistics Institute (INE), showed the consumer confidence indicator decreased over the last two months. A significant March reduction brought it to its lowest level since December 2023, primarily due to negative outlooks on the country’s economic situation and household finances.

Opinions on the past evolution of household financial situations and expectations regarding future major purchases contributed negatively to this indicator, though more slightly.

INE data showed the balance of consumer expectations of Portugal's economic situation fell "significantly in March, hitting its lowest level since January 2023."

"Expectations regarding future price trends rose over the last three months, with March recording the second-largest increase in the series and the highest value since March 2022," the statistics office said.

The economic climate indicator, based on business surveys, fell in March to near its level from a year ago after rising slightly in February.

Confidence fell in trade and construction but rose in services and manufacturing.

In manufacturing, the indicator increased over the last two months and slightly in March. INE explained this "reflects the positive contribution of assessments relating to stocks of finished products and opinions on the evolution of global demand."

Business owners expect selling prices to rise as the Middle East conflict potentially accelerates inflation, particularly regarding oil prices.

MES/LYT // AYLS

Lusa