Marcelo Rebelo de Sousa was speaking at the old royal horse-riding arena, next to Belém Palace in Lisbon, during a session with representatives of companies subscribed to the “More and better jobs for youngsters pact,” promoted by the José Neves Foundation and the Government, an initiative which has his full support.

“One of the components of the archaic model that we had is changing, that’s the idea that the management of the economy should be based on low salaries,” the Head of State stated, who incentivised companies to have a greater “number of employed young people” and to improve “the remuneration of those youngsters.”

Considering this idea, without naming anyone, the President criticised “the simplicity” of those who point to the increase of salaries as an aggravating factor in inflation.

Speaking in general about the “worldwide responsibilities,” Marcelo Rebelo de Sousa said we shouldn’t be “simplistic in the analysis of reality” when faced with “global phenomena.”

In response to those who, “independently of the structure of inflation,” defend that “salaries can’t rise, that’s it,” he countered that “There aren’t absolute general rules like that anywhere in the world. That’s passed.”

“In some cases, yes, in others not. It depends on the type of inflation, the structure of that inflation, the evolution of the inflation, which sectors it affects, which societies it affects, it all depends on what situation we’re speaking of,” he argued.


The head of State suggested an “innovation in the arguments of those who are used to making classic arguments, which have had their time, they have positive aspects but can’t be generalised alone, as the whole model is changing.”

“Much has changed and is changing. Our economy’s globalisation won’t stop here, it will continue, and in the next few years it will accelerate. This is where you come in, youngsters, where the companies come in, where the State comes in,” he added.

According to the President, “there’s no one today” that contests the fact that “globalisation is fundamental” for the Portuguese economy, and there’s also an “implicit pact, from left to right, right to left,” in favour of balancing the budget.

Marcelo Rebelo de Sousa reiterated the message that Portugal is witnessing “a unique opportunity” in terms of economic development, as it benefits off the progressions in qualifications and current geopolitics. “As such, we have exceptional conditions, but they won’t last forever.”