Why Portugal – and especially Lisbon and the Algarve – are so popular with digital nomads

Portugal continues to shine in the Executive Nomad Index 2025, with Lisbon ranked 5th and the Algarve 10th. Since the index launched in 2022, both destinations have consistently stayed in the global top 10. The reason is clear: Portugal offers a unique mix of lifestyle, affordability, and year-round sunshine.

Lisbon: connectivity and city vibes

Lisbon has become one of Europe’s top hubs for digital nomads and remote workers. With fast internet, excellent flight connections, and a vibrant city life, it’s perfect for those who want energy and inspiration around them. Coworking spaces, international communities, and a thriving food and culture scene make it easy to combine work with pleasure.

Algarve: lifestyle and affordability

The Algarve, in southern Portugal, offers a different attraction. A mild climate, relaxed lifestyle, and lower cost of living make it a favorite for remote professionals seeking balance. English is widely spoken, the expat community is welcoming, and the region provides plenty of space for outdoor living, from golden beaches to golf and hiking. Travel times to major European cities are short, which makes working remotely even easier.

Portugal as a digital nomad destination

Whether you prefer the urban buzz of Lisbon or the laid-back charm of the Algarve, Portugal ticks all the boxes: great weather, safety, affordability, and a strong international community. No wonder more and more digital nomads and remote executives are choosing Portugal as their base.

FAQs: Digital Nomads in Portugal

Is Portugal good for digital nomads?
Yes! Portugal is one of the best countries in Europe for digital nomads thanks to its climate, safety, cost of living, and thriving international community. Lisbon and the Algarve both rank in the global top 10 for remote workers.

Does Portugal have a digital nomad visa?
Yes. Portugal introduced a digital nomad visa that allows remote workers to live and work in the country legally. This makes it easier for freelancers, entrepreneurs, and remote employees to stay long-term.

Lisbon vs Algarve – which is better for digital nomads?
Lisbon is ideal if you want city vibes, networking, and fast-paced energy. The Algarve is perfect if you prefer a slower lifestyle, beaches, and affordability. Both offer great internet, international connections, and a welcoming expat community.

Why do expats and digital nomads choose Portugal?
Because Portugal combines sunshine, culture, affordable living, and high quality of life. Add to that its friendly locals, English-speaking environment, and short travel times across Europe, and it’s easy to see why Portugal is a top choice.

What is the cost of living in Portugal for digital nomads?
Compared to other Western European countries, Portugal is much more affordable. On average, digital nomads spend €1,200 – €2,000 per month depending on location and lifestyle. Lisbon is a bit pricier due to its popularity, while the Algarve offers more space and value for money. Eating out, public transport, and even renting a prime apartment are still cheaper than in cities like Barcelona, Amsterdam, or Berlin.