The Algarve reached a new all-time high of overnight stays in July 2026, with approximately three million stays, a year-on-year growth of 2.2%. The region received 685.9 thousand guests during the month, 0.5% more than in the same period of the previous year. The domestic market grew 3.9%, above the 1.6% of international markets, and the Algarve accounted for 30.8% of all overnight stays in the country. In the first seven months of the year, the region accumulated 11.8 million overnight stays, maintaining national leadership and registering growth of 1.8%, above the national average of 1.5%.
Algarve tourist accommodation revenue exceeded one billion euros in accumulated revenue for the first time in the first seven months of the year, recording growth of 7.5%, above the national 5.3%. In July alone, total revenue grew 6.9% and the region accounted for 35% of national tourist accommodation revenue. The average revenue per available room (RevPAR) reached 151.40 euros, the highest value in the country, while the average daily rate (ADR) reached 203.20 euros, a new national all-time high for July.
André Gomes, president of Turismo do Algarve, considered that INE data contradicts perceptions about the evolution of domestic demand, highlighting that Portuguese people continue to choose the Algarve and make a very significant contribution to the results. The official also highlighted the region's ability to increase the value generated by tourism activity, noting that the Algarve grows in demand but especially in value.
Albufeira reinforced its position as one of the main tourist destinations, with growth of 4.8% in the number of guests and 3.6% in overnight stays in July, totaling approximately 1.1 million stays. The municipality was the second in the country with the most overnight stays, behind only Lisbon. In the first seven months of the year, seven Algarve municipalities were among the 15 Portuguese municipalities with the highest tourism activity.
