Visa & Finance
October 6, 2025
The United States is taking a sharp turn away from attracting global talent, with President Donald Trump’s decision to impose a $100,000 fee on H-1B visas for skilled foreign workers — a move that economists warn could stifle growth and innovation.
Trump’s proclamation increases the H-1B visa application cost 60-fold — from roughly $1,600 to $100,000 — in an attempt to push American companies to hire domestically.
In stark contrast, Portugal continues to strengthen its reputation as one of the most welcoming destinations for international investors, entrepreneurs, and professionals, through its IFICI (Tax Incentive for Scientific Research and Innovation) regime as well as its residency pathways through its highly popular Golden Visa programme.
However, analysts say the US measure could backfire, cutting off vital access to skilled workers and undermining productivity in high-growth industries such as technology and healthcare.
Atakan Bakiskan, an economist at investment bank Berenberg, described the policy as an example of “anti-growth policymaking.”
He added: “By making it very expensive for companies to attract foreign talent, and by forcing some international students to leave after graduation, the brain drain will weigh heavily on productivity.”
Berenberg has already downgraded its US growth forecast from 2% to 1.5% this year, and Bakiskan cautioned that “unless Trump relents, even that may soon look optimistic.”
Economists at Deutsche Bank and XTB echoed similar concerns, citing turmoil in Silicon Valley as tech companies scrambled to adjust to the sudden policy shift. Amazon, Microsoft, Meta, Apple, and Google — among the largest employers of H-1B workers — now face rising uncertainty over recruitment and retention.
While major corporations can afford the increase, smaller firms in healthcare, education, and research may struggle, potentially pushing skilled professionals to seek opportunities elsewhere — including Europe.
As the US erects barriers, Portugal’s immigration and investment landscape tells a very different story.
Its IFICI tax incentive – often referred to as the NHR 2.0 – is designed specifically to attract a highly-skilled workforce. It offers a range of benefits, including a flat 20% tax rate on Portuguese-sourced employment and 0% tax on certain foreign-sourced income, such as capital gains and dividends, for those who meet the criteria.
Meanwhile, its Golden Visa offers the opportunity to fast-track citizenship through a €500,000 investment in a number of regulated and approved investment funds.
Together, they encourage international investors, high-net-worth individuals and skilled professionals to settle in Portugal to boost its economy in a stable and innovation-friendly environment.
Explains Paul Stannard, Chairman and Founder of Portugal Pathways and the Portugal Investment Owners Club: “While the US seems to be putting barriers in the way of attracting top international skilled workers, Portugal is embracing it.
“Policies like the H-1B fee only make Portugal more attractive. Investors and skilled workers want certainty, opportunity, and access — and that’s exactly what Portugal provides.”
About Portugal Pathways
Portugal Pathways has supported hundreds of Golden Visa residency-by-investment applications and provides expert guidance through its professional supply chain network on luxury property, wealth management, and tax optimisation, including post-NHR tax regime planning, as well as private healthcare, IFICI tax incentive applications, money transfers and bespoke relocation solutions to enhance life and investments in Portugal.
About Portugal Investment Owners Club
The Portugal Investment Owners Club, or P Club for short, is a unique investor membership community designed for discerning individuals, families, and organisations committed to exploring and capitalising on life in Portugal and enjoying money-can't-buy experiences and exclusive events.
Disclaimer: The information on the Portugal Pathways and Portugal Investment Owners Club (P Club for short) websites and in email communications is for general informational purposes only and should not be construed as legal, tax, or financial advice. You should consult and check with a qualified professional advisor before relying on any information provided on this website or in email communications. As it relates to investments in Golden Visas or other wealth management solutions offered by regulated and professional advisors, it is important to note that past performance is no guarantee of future returns. Private equities can be highly illiquid and come with risk and should always be under professional independent advice. Golden Visa investments need to be held for 6 to 7 years to allow for permanent citizenship/passport in the EU.
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