Software development in Portugal: what are the advantages


Portugal has evolved to be one of the most vibrant tech hubs in the world, and it is even hailed as the Silicon Valley of Europe. Lisbon, the capital of Portugal is now becoming the fastest-growing tech ecosystem in the world and has been attracting many tech startups. One of the reasons for the growth of Lisbon, the capital city of Portugal is the start-up accelerator Unicorn Factory Lisbona, launched in October 2022. This is an umbrella brand for the Startup Lisbona, and it has supported hundreds of startups and created thousands of jobs. Software development has been getting a boost because of this, and there are already ready-made teams for work. These tech startups have plenty of excellent software developers on board, making it easier for remote work allocation possibilities.

What makes Portugal so favourable for the tech climate?

Portugal is now one of the most demanded countries on the Western Europe map. With its favourable weather, investment climate, and attractive economic conditions, Portugal has been a great place to send your software development projects. If you are looking to hire a tech team in this country, it would be a good place to start with. 

Several tech giants have already started their companies in Lisbon, as the city boasts a rich environment for software development companies. Google, Nokia, and Siemens are just a few of them. It is loved by both tourists and locals and is now a thriving cosmopolitan place.  

Major IT hubs in Portugal


As mentioned earlier, the capital of Portugal is a major IT hub. There are highly qualified, talented, and skilled developers in the city. This city has the fastest-growing technology ecosystem in Europe, making it the first choice for companies looking to hire from Western Europe. 


This coastal city is quickly turning into an IT hub, and the quaint, narrow cobbled streets will now have IT talent gracing them. The city’s local government has also been very active in making the city a major IT destination. 


Aveiro is a city located about an hour away from Porto and has a handful of IT software companies. The city is noted for being a pioneer in the 5G technology and has been at the forefront of enabling large data transfers to other countries. 


Braga is another city in Portugal with a major chunk of developers exhibiting their skills and knowledge. Many noted software development companies have already opened up shop there. 

Why hiring Portuguese developers would be good for business?

1. A robust and trustworthy pool of developers

Portuguese not only has a robust team of skilled and talented developers, but they are trustworthy too. The trust and credibility levels are much higher than other Nordic countries in the region. You can find any tech stack combination in Portugal, and they are ready to work remotely for one-time or long-term collaboration. 

2. Convenient time zone and cultural compatibility

Companies in Europe would love to partner with companies that match their time zones. This is possible when you hire developers from Portugal, making it convenient for real-time collaborations and discussions. London has the same time zone as Portugal. And there is only a five-hour difference with Canada. Apart from the time zones, cultural similarity is also an advantage. And of course a similar work ethic. They pay attention to projects, choose their developers according to their proficiency and talent, and work hard to exceed customer expectations. 

3. A safe and stable country

The political stability of the country is a great advantage to companies looking for a peaceful place to do business with. Portugal is ranked 6th in the 2022 Global Peace Index. This is a boost to companies looking to have a stable work environment on a long-term basis. 

4. English Proficiency is excellent

The developers can communicate well in the English language, a great advantage because when you discuss projects, you can be assured that they will be able to follow well. 

5. Multi-talented and multi-skilled

The country has a very rich tech talent and the numbers are growing. The developers have received a solid technical education, along with excellent language skills. They have the practical knowledge to handle the latest technologies and tools in the market. Portuguese students have mastered their skills in computer networking, software engineering, and database development, so if you are looking for fresh graduates, you have come to the right place. Their skills in Java, SQL, and Python are commendable and highly regarded. They are experienced in developing B2B software development projects because most of the startups in the country are business-to-business ones.

6. Competitive rates

The developers in Portugal offer competitive rates for really good work. This could be because the cost of living is lower when compared to other countries in Europe. You get quality work for low rates, and that’s feasible, especially when you are a startup, right? 

7. An outsource-friendly government makes it all possible

The Portuguese government promotes software development and offers incentives and support programs for the tech ecosystem. This had been encouraging and promising to both domestic and international investors. There are some tax frameworks that the government offers, making it easier for investors. There is a strong cybersecurity investment, both in research and development, making it easier for companies to smooth networking and collaboration. 

8. The crime rate is low

Portugal is a peaceful country, and thus, the crime rate is low. The excellent economy of the country has made it possible to have a fairly good standard of living, with excellent infrastructure for the tech ecosystem.   


Portugal is slowly gaining momentum in the business and tech world. The rise of software development has been quite phenomenal and this is expected to remain solid and stable in the coming years. If you are looking to do business with the developers in Portugal, you are making an excellent decision because it is a win-win situation. They are highly educated, have practical knowledge, are polite and responsible, have high levels of English proficiency, and are brilliant with technology. 

You have a diverse mix of talent in Portugal – whether it is a full-stack developer, a back-end developer, or a front-end developer, you will always get the right team. They have a healthy dose of product and project managers, UI/UX designers, data mining experts, data scientists, mobile app developers, QA and testing specialists, and so on. You get to hire senior developers for complex projects and medium to junior for simple or startup projects. You don’t have to keep searching and mixing and matching talent when you are hiring from Portugal. 

Interesting Links:

The main reasons to hire Portugal Developers

Check out the top 100 Portuguese Software Development Companies

Pictures: Canva

The author: Sascha Thattil works at which is a part of the YUHIRO Group. YUHIRO is a German-Indian enterprise which provides programmers to IT companies, agencies and IT departments.

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