347,000 Italian Retirees Abroad; 4,000 in Portugal

A survey by Istat, Italy's statistical institute, reveals that 347,000 retired Italian citizens live outside the country, receiving some form of pension benefits paid by Italy. The data reference December 31, 2024, and also reveal that Portugal now has approximately 4,000 of these pensioners.

What the Istat survey reveals

According to Istat, the 347,000 retired Italians scattered around the world represent a significant portion of the Italian diaspora that chose to maintain their lives outside Italian territory even in their retirement years. The survey includes citizens who receive some form of Italian pension benefit — whether retirement based on contribution years, age-based pension, or other types of assistance paid by the Italian system.

According to the institute's figures, the geographic distribution of these retirees is quite concentrated: 54% live in Europe, which accounts for the largest share of the group. The Americas come next, with 39.6% of pensioners, a direct reflection of the major Italian migration flows to countries like Argentina, Brazil, the United States, and Canada throughout the 20th century. The remainder — a much smaller fraction — is distributed among Oceania, Africa, and Asia.

These numbers confirm a trend already observed in other surveys related to Italy News: the Italian diaspora remains active, and a considerable portion of it ages outside the country of origin, maintaining a financial link with Italy through pensions.

Portugal among European destinations

Within the European continent, Istat identifies Spain as the absolute leader, with approximately 13,000 retired Italians living in the country. Portugal appears next, with approximately 4,000 resident Italian pensioners, establishing itself as one of the preferred destinations for those seeking mild climate, competitive cost of living, and cultural proximity to Italy.

Other European countries also concentrate relevant numbers of retired Italians, according to the Istat survey. Tunisia, Croatia, and Romania appear among the destinations with significant presence of this demographic, each reflecting different historical waves of emigration or more recent movements linked to retirement abroad.

The Portuguese case, however, stands out for representing a more contemporary trend, linked not to ancient migration flows, but to life decisions made already in retirement.

Who are these retirees

The Istat survey also traces a sociodemographic profile of this group. Approximately 72% of Italian retirees abroad — equivalent to approximately 250,000 people — were born in Italy itself, and the majority of this contingent consists of men. These are people who, at some point in their lives, emigrated and decided to remain outside the country even after retiring.

The remaining 28% were born outside Italy. In this group, the profile reverses: women represent 62% of retirees. According to Istat, this segment includes descendants of families linked to the former Italian emigration, often grandchildren or great-grandchildren of Italians who left Italy decades ago and, through pension or formal work ties to Italy, ended up accumulating the right to some type of benefit.

This data directly relates to the universe of Italian descendants scattered worldwide, including Brazil, and reinforces how issues related to Italian Citizenship remain intertwined with the country's migration history, even though the Istat survey specifically addresses retirement, not citizenship recognition.

Why they choose to live abroad

Among the factors explaining the choice of so many Italians to spend their retirement outside the country, Istat cites lower cost of living in various destinations, the quality of life offered by certain regions, and tax issues that can make retirement abroad financially more advantageous. The proximity of children and grandchildren who had already emigrated previously is also cited as a relevant motivation, especially among retirees born outside Italy.

In the specific case of Portugal, the tax regime for Non-Habitual Residents (NHR) played an important role in attracting foreign retirees, including Italians, throughout the past decade. The program offered favorable tax conditions for those who transferred tax residence to the country. This regime, however, was repealed for new registrations as of 2024, which had already been altering the flow of new applications, even though those already benefiting from it maintained acquired rights under the transition rules established by the Portuguese government.

These changes in the European tax landscape tend to influence future editions of surveys like Istat's, especially regarding Portugal's attractiveness compared to other destinations for those planning their Life in Italy — whether by remaining in the country or by evaluating retirement alternatives abroad.

The data released by Istat illustrate how the relationship between Italy and its diaspora remains alive even decades after the major migration flows of the past century, and how the Italian State continues to sustain pension obligations to citizens — and their descendants with formal ties — who today live on practically every continent.

Source: Italianismo