Productive Innovation 

Support line for companies’ production systems.

Investment stimulus to promote business innovation in the production of new goods and services and adoption of new manufacturing processes or methods.


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Promote business innovation in the production of new goods and services or in significant improvements of current production via knowledge transfer and application.

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Promote business innovation in adopting new or significantly improved manufacturing, logistics and distribution processes or methods, as well as organizational methods (for non-SMEs only process or manufacturing methods areas will be supported).

More information on how to access this incentive

Innovative investments that produce tradable and internationalizable goods and services with a high level of national incorporation, corresponding to an initial investment, as defined in no. 49 of article 2 of Regulation (EU) No. 651/2014, of June 16, in one of the typologies: 

  • Setting up a new establishment
  • Increase the capacity of an existing facility
  • Diversify an establishment’s production to products not previously produced there 
  • Fundamental change in the overall production process of an existing establishment 

Mere expansion or modernization investment projects are not supported. 

The initial investment may include a Human Resources training component involving the participation of entrepreneurs, managers and workers in training actions integrated in the project in question, allowing for a better effectiveness of the innovation processes.

Enterprises of any nature and under any legal form.

This incentive is made up of two components: non-refundable and refundable. The refundable component may be granted through a bank loan associated with a Portugal 2020 funded financial instrument.

The reimbursable component through a bank loan may be replaced by an interest-free reimbursable incentive and under the same term conditions, in cases involving calls for applications in the area of entrepreneurship or business innovation in operational programs with available budget margin.

Small and medium-sized enterprises (SMEs) that propose to invest in eligible projects under Productive Innovation benefit from a non-reimbursable grant component from the outset (previously only granted in the form of a repayment exemption after the results have been assessed), and the reimbursable grant can be replaced by an interest-free bank loan.

Companies can apply without a bank loan. Should they forego this aspect, they may benefit from an increase in the support rate of 5%, provided they finance the project with a minimum of 25% of equity.

Between 15 and 75%: 

  • 15% for eligible investments of €15 million or more or promoted by non-SMEs. 
  • Refundable incentive between 35 and 75% for the remaining situations. 


  • 50% of the total value through a non-refundable subsidy, to be attributed in the scope of Productive Innovation.
  • 50% of the total value through an interest-free bank loan, coupled with a financial instrument funded by Portugal 2020.

The non-refundable incentive component is attributed on a non-definitive basis until the project’s results are evaluated based on the degree of fulfillment of the contractually established goals. 

For projects with an investment amount higher than 15 million Euros, or for non-SMEs, the funding is calculated according to the policy in force (and will be granted through a non-refundable incentive within the scope of Productive Innovation). 

Reimbursement Conditions: 
Semester installments; 8 years with 2 grace years (no interest). 

Applications for this support are now open

See the specifics of the Productive Innovation incentive in articles 19 to 38 of the Portaria n.º 57-A/2015. 

Source: Information adapted from the Competitiveness Portal and the Financing Portal 
This content has been adapted and summarized. For more information consult the regulations, notices and other information provided by the incentive’s managing entities.


Industrial Property

Support for industrial property rights stemming from R&D projects 

Individual R&D

Support for industrial research and experimental development activities

R&D Cores

Support to create or reinforce the skills of dedicated R&D structures.

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