The Algarve once again stood out as Portugal’s top holiday destination in August, accounting for 30.3% of all overnight stays in the country, according to data released by the National Statistics Institute (INE).
In August, the region’s hotels, resorts and tourist accommodations welcomed around 764,000 guests, generating 3.23 million overnight stays – a 0.5% increase compared with the same month last year.
Growth was driven mainly by the domestic market, with overnight stays by Portuguese residents rising 3.4% compared with August 2024. Meanwhile, overnight stays by foreign visitors fell slightly, by 1.1%, in line with national trends.
The rise in guest numbers also came mostly from the Portuguese, with a 3.9% increase. On the other hand, foreign visitors recorded a smaller rise of 0.9%.
In terms of revenue, the Algarve maintained its national lead, accounting for 36.3% of the total.
INE data also show that the region brought in about €367 million in total revenue, up 6.2% from the previous year.
The Algarve also registered an average stay of 4.23 nights – one of the highest in the country – and a room occupancy rate of 80.3%.
“The August results confirm the importance of the domestic market and the confidence of the Portuguese in the Algarve. In a month traditionally marked by strong competition, it is significant that the region maintains its ability to attract visitors and generate revenue, with clear signs of growing national demand,” said André Gomes, president of the regional tourism board Região de Turismo do Algarve (RTA).
