Porto technology incubator created 1,600 jobs during the pandemic
Study shows that contribution of companies incubated at UPTEC to the Portuguese economy increased by more than 10% between 2019 and 2021, to €324 million, with wages shooting up by 32% over this period.
The main technological incubator in the city of Porto created nearly 1,600 jobs during the pandemic. The incubated companies at the Science and Technology Park of the University of Porto contributed €324 million to the national economy. These findings come from a study conducted by two professors from the Faculty of Economics of the University of Porto (FEP), which was released on Tuesday.
By the end of 2021, the companies in UPTEC had a total of 8,600 employees, an increase of 1,596 compared to the end of 2019, representing a growth rate of 22.8%. The increase in salaries during the same period was even more significant, rising from €166 million to €219 million, an increase of 31.9%. The substantial growth in wages resulted in an increase in tax payments to the state from €35.2 million to €48.4 million (37.5%).
During the analyzed period, UPTEC had a total of 182 companies with physical offices. The accumulated investment amounted to €37 million, and over €161 million was generated through exports. The companies were located in three different areas: the university campus of Asprela, the downtown area, and UPTEC Mar, located at the Cruise Terminal of Porto de Leixões. The incubator also had 66 graduated companies, meaning they no longer required a physical office space.
Overall, the companies in UPTEC generated over €187 million in sales and services, with 57% of that corresponding to exports. As a result, the technological incubator of Porto claims to have strengthened its contribution to the Portuguese economy by 10.13% between the end of 2019 and the end of 2021. During this period, the national gross domestic product had an average annual growth rate of -1.64%.
UPTEC highlights that the direct impact of the companies "is measured by the set of activities carried out by the entities and companies." The indirect effects "relate to the economically incremental activity generated by the consumption of intermediate goods and services," and the induced effects correspond to "the economically incremental activity generated as a result of the consumption expenses of the workers directly involved in these activities, as well as the workers of the entities supplying goods and services (economic activity generated by both direct and indirect effects)."
