1. Introduction

 

Citrus is a genus of fruit-trees of the family Rutaceae. It is Asiatic origin and are cultivated throughout the warmer parts of the world (5). The trees are typically aromatic because of the presence of glands in the leaves, flowers and fruits which produce essential oils. These oils are extracted for use in perfumes, to flavour drinks and used in confectionary. These oils are also used in the production of organic chemicals (6). It also utilised for culinary, ceremonial and medication purposes amongsts the Malays and also been claimed to be a snake deterant and possess aesthetic properties as hair shampoo amongst Malay and Malenasians.This study is focused to the 3 members of the Citrus genus:Citrus hystrix (DC), Citrus microcarpa (Bunge) and Citrus aurantifolia (Swingle) (also namedC. acida, Roxb.) (5).

 

1.1 Citrus hystrix

 

Citrus hystrix, locally known as ‘limau purut’, is a small tree, with a pear-shaped fruit, the skin intensely green, or ultimately upon ripening yellowish and wrinkled. Before the fruit is ripe the juice is gummy, but with ripeness becomes thin and watery, though never abundant (5). It has a characteristic sweet lemony smell whereas the flowers are small, white in colour and sweet smelling. The leaves, about 7.5 to 10 cm long, shiny and looks oily. The essential oil from the leaves is a light yellowish green liquid.

 

1.2 Citrus microcarpa

 

Normally C. microcarpa is consume as a refreshing fruit drink or they are commonly pickled with salt and can be preserved with sugar or salt as dried fruits. This is a common plant grown in the home, either as a potted plant or planted in the garden. It grows to about 3 to 4 m tall. Immature fruits are green but turn yellow or orangy when ripe. The fruits are very small compared to other Citrus. It is roundish (about 2.5 to 3.7 cm across) with a smooth, shiny, thin skin. They are very juicy but sour (7). C. microcarpa has a peculiar musky fragrance which gives it its name.

 

1.3 Citrus aurantifolia

 

It is normally consume as a fruit juice and used for cooking and garnishing. Leaves are traditionally used for poulticing, both against evil spirits and for skin complaints. It grows to about 5 m tall. In the early years, it is a thorny shrub. Flowers are about 1 inch across with 4 waxy petals (8). The fruits are roundish, about 2.5 to 5.0 cm in diameter, green when immature but turning yellow at maturity and very juicy but sour. The skin is shiny and smooth, about 0.3 to 1.2 mm thick (7). Citrus aurantifolia is really common and many varieties are available and can be found throughout the country.

 

2. Methods and Materials

 

2.1 Essential Oil

 

Essential oil of C. hystrix, C. microcarpa and C. aurantifolia were distilled from the leaves by vapour distillation method where distillation from 3 kg of leaves produces 0.4 to 0.7 ml of essential oil.

 

2.2 Animals

 

Male Swiss albino mice weighing between 22 to 26 g were used. Animals were bred at the USM animal house and keep in controlled conditions (light or dark cycle and temparature at 22°C) with food and water ad libitum.

 

2.3 Method

 

Mice were divided into 4 groups (6 mice per group). One group act as the control and the others were treated with Citrus spp essential oils. For the treated group, 0.1 ml essential oils given over 30 minutes in standardised animal container by vapourising the oil inside it. The container is a perspex container 22 cm x 12 cm x 15 cm fabricated at our laboratory. All groups undergo the Forced Swimming Test (antidepression) and Elevated Plus-maze test (anxiety). For the control group, each mouse is given 0.1 ml distilled water by the same method.

 

2.4 The Tests

 

2.4.1 The Force Swimming Test

 

This test is popularly used in screening anti-depressive effect. It is an animal depression model developed by Porsolts et al (9), validated by Nomura et al (10) and Sunal et al (11), adepted by Abdul Razak et al (12). The Force Swimming Test is readily accepted as the standard test with a degree of sensitivity and reability for the screening of anxiolytic and anxiogenic subtances. The apparatus is a cylindrical chamber made of glass with 25.3 cm diameter and 35.5 cm height. The height of water in chamber is 23.7 cm and it is at room temperature. The test is single blinded and conducted within a period of 15 minutes. Recordings and/or observation start on placement of the mouse into the chamber.

 

The parameters as follows:

 

1. Number of rounds of swimming within a 3 minutes duration (SR).

 

2. Time in immobility (total time in state immobility at 3rd, 4th, 5th and 6th minute (TI).

 

3. Time of latency ( time to reach complete immobility within 15 minutes (TL).

 

Summary of parametric indication:

 

1. SR if increases, it shows antidepressive effect.

 

2. TI if decreases, it shows antidepressive effect.

 

3. TL if decreases, it shows antidepressive effect.

 

2.4.2 The Elevated Plus-maze Test

 

This test is used in the screening of anxiolytic effects of drugs. It is an animal anxiety model developed by Montgomery (13), validated by Pellow et al (14), Lister (15) and Cruz et al (16). This test is a standard test with an acceptable degree of sensivity and reability for the screening of anxiolytic and anxiolgenic substances. Some modification has been made in the mode of recording the parameters and in the apparatus by adopting recommendations of Lister (15) and Cruz et al (16) by Abdul Razak et al (12). The apparatus is made of black perspex with two sets of arms, the open and the enclosed arm opposing each other. The test were conducted within 5 minutes and recording and/or observation start upon placement of the mouse at the centre of the plus-maze facing forward of the enclosed arm.

 

The parameters measured as follows:

 

1. Number of entries into the open arm (EOA) and enclosed arm (EEA).

 

2. Time spent in open arm (TOA). Mouse is considered in open arm when all four limbs of the mouse are in the open arm.

 

3. Time spent in the enclosed arm (TEA). Mouse is considered in enclosed arm when all of four limbs of the mouse are in the enclosed arm.

 

4. Time of risk assessment (TRA). Recording starts when the mouse in the enclosed arm starts to protrude its face at the entrance until all four limbs are in the open or retreat back to the enclosed arm.

 

5. Time scanning (TS). Time when the mouse is in the open arm while scanning the edge of open arm.

 

Summary of parametric indication:

 

1. EOA if increases, it shows antianxiety effect.

 

2. TOA if increases, it shows antianxiety effect.

 

3. EEA if decreases, it shows antianxiety effect.

 

4. TEA if decreases, it did not show antianxiety effect.

 

5. TS if increases, it shows antianxiety effect.

 

6. TRA if increases, it shows antianxiety effect.

 

2.5 Statistical analysis

 

Statistical Package for Social Sciences (SPSS) Statistical Sofeware (version 11.0, SPSS) was used for the analysis of data in this study. The normality of each variable was tested by normality test and the homogeneity by homogeneity varian test (Levene’s test). All data were analyzed by using non-parametric statistic programme because most of the data were not normally distribution and were not homogenous. Kruskal-Wallis stastic test were used to compare median (IR) of data for more than two groups and if significant, it is followed by Mann-Whitney U test in order to determined the differences between groups. Level of significance was set at 0.05 and p value < 0.05 was accepted as significant.

 

2.6 Ethical committee

 

This study was approved by the USM Health Campus Animal Ethics Committee.

 

3. Results

 

3.1 The Force Swimming Test

 

The results of parameters obtained are shown in Figure 1 to Figure 3. Figure 1 represents group of mice versus SR. Kruskal-Wallis test showed no significant differences between control group and treated groups of C. hystrix, C. microcarpa and C. aurantifolia (p > 0.05). In Figure 2 (group of mice versus TI), P value for Mann-Whitney U statistic test showed significant differences between treated group of C. aurantifolia compared to the control group (p = 0.05). Thus, C. aurantifolia shows antidepressive properties (p = 0.05). In Figure 3 (group of mice versus TL), Mann-Whitney U statistic test showed that C. aurantifolia has significant differences compared to the control group (* p = 0.05). C. aurantifolia shows antidepressive properties.

 

3.2 The Elevated Plus-maze Test

 

The results of parameters obtained are shown in Figure 4 to Figure 9. Figure 4 represents group of mice versus EOA. There were significant differences between the control group and treated group of C. hystrix, C. microcarpa and C. aurantifolia (p < 0.05, Kruskal-Wallis test). Mann-Whitney U statistic test showed significant differences when C. microcarpa was compared to the control group (* p < 0.05). Therefore C. microcarpa shows antianxiety properties. Figure 5 represents group of mice versus TOA. There were significant differences between the control group and treated group of C. hystrix, C. microcarpa and C. aurantifolia (p < 0.05, Kruskal-Wallis statistic test). P value for Mann-Whitney U statistic test showed significant differences between treated group of C. hystrix compared to the control group (* p = 0.05). C. hystrix shows antianxiety properties. In Figure 6 (group of mice versus EEA), P value for Kruskal-Wallis statistic test showed no significant differences between the control group and treated group of C. hystrix, C. microcarpa and C. aurantifolia (p > 0.05). In Figure 7 (group of mice versus TEA), P value for Mann-Whitney U statistic test showed significant differences of C. hystrix compared to the control group (* p = 0.05). C. hystrix shows antianxiety properties. Figure 8 represents group of mice versus TRA. P value for Kruskal-Wallis statistic test showed no significant differences between treated group and the control group (p > 0.05). Figure 9 represents group of mice versus TS. P value for Kruskal-Wallis statistic test showed no significant differences between all groups (p > 0.05).

 

4. Discussion

 

Porsolt et al (9) observed that rats or mice in the Behavioral Despair test or the Forced Swimming test, when forced to swim in a restricted space from which they cannot escape, cease to struggle and quickly maintain a characteristic immobile posture. They correlated this despair behavior, expressed as immobility to clinical state of mental depression (11). When antidepressants were given, its reduces the immobility of the rats or mice and this suggested that the test is usefulness in the screening for anti-depressive substance (10). In our study, for time in immobility (SR), P value fot statistic test Mann-Whitney U showed significant differences between treated group of C. aurantifolia (p = 0.05) and for time in latency (TL), Mann-Whitney U statistic test showed that C. aurantifolia has significant differences compared to the control (* p = 0.05). These results taken together indicate that C. aurantifolia appears to show an anti-depressive effect. The decrease in time of immobility is the positive results in screening anti-depressive using the Behavioral Despair test. The results using BDT shows C. aurantifolia has decreased for time in immobility and time of latency.

 

The Elevated Plus-maze test was developed from work of Montgomery (13). Pellow et al and co-workers (14) performed an extensive series of studies validating the procedure as an animal model of anxiety in rats and Lister et al (15) had validated the test in mice. Preferences to stay the open arm indicate the anxiolytic effect and test substances influency a longer stay in the open arm suggest anxiolytic properties. The results using the Elevated Plus-maze test shows C. hystrix has preferences to spent time in open arm and did not prefer to spent time in the enclosed arm. C. microcarpa treated mice have preferences to entry into the open arm. Essential oils of C. hystrix and C. microcarpa have antianxiety where C. hystrix has more effect compared to C.microcarpa. C. hystrix and C. microcarpa show anxiolytic properties based on the results obtained.

 

Conclusion

 

The present study provide some evidence to indicate that the smelling of essential oils (0.1 ml) of C. hystrix and C. microcarpa confer anxiolytic effect, while C. hystrix shows stronger anxiolytic effect, and C. aurantifolia showed antidepressive effect. It can be concluded that essential oils of the Citrus family may affect behavior. However, the mechanism of actions of these essential oils are not known. Further studies will needed to explore in the possible mechanism of action. These will require neurological test and related test to ascertain the effects observed in this study.

 

Acknowledgement

 

I would like to thank Mr. Abdul Razak Ahmad, Mr. Norman Mukiar, Mr. Rosliza Haron, Mr. Mohd. Aminorddin Darus Mohd. Noor, Mrs. Halijah Miran, Mrs. Norzihana Ramli for their technical assistance and to all friends at Laboratory of the Department of Pharmacology, USM Medical School.

References

 

1. Azhar Md. Zain dan Syed Mohsin Syed Sahil Jamalullail (2003). Effect of Taking Chicken Essence on Stress and Cognition of Human Volunteers. Malaysian Journal Nutrition. 9(1): 19.

 

2. Umezu T.(2000). Behavioral Effects of Plant-Derived Essential Oils in the Geller Type Conflict Test in Mice. Japan Journal Pharmacology. 83(2): 150.

 

3. Ilmberger J., Heuberger E., Mahrhofer C., Dessovic H., Kowarik D., Buchbauer G. (2001). The influence of Essential Oils on Human Attention. I: Alertness. Chemistry Senses. 26(3): 239.

 

4. Che Rugayah Che Awang dan Syed Mohsin Syed Sahil Jamalullail (2001). Effects of Essential Oil of Citrus hystric on the Blood Pressure and Heart Rate of Anaesthetised Rats. Asia Pacific Journal of Pharmacology. Volume 15(2): S50.

 

5. Burkill R.H. and Watson J.G. (1966). A Dictionary of the Economic Products of the Malay Peninsula. Jilid 1 (A – H). Ministry of Agriculture and Co-operatives, Kuala Lumpur.568, 575.

 

6. Jones D.T. (1984). Citrus In Malaysia. Nature Malaysiana. Tropical Press Sdn. Bhd., Kuala Lumpur, Malaysia. 4(9). 8,10.

 

7. Hoong Fong C. dan Hoi-Sen Y. (1982). Malaysian Fruit in Colour. Tropikal Press Sdn. Bhd., Kuala Lumpur, Malaysia. 46-47.

 

8. Allen B.M. (1975). Common Malaysian Fruits. Longman Malaysia Sdn. Bhd., Kuala Lumpur. 36.

 

9. Porsolt R.D., Bertin A., Jalfre (1977). Behavioral despair in mice: A primary screening test for antidepressants. Arch. Int. Pharmacodyn. 229: 327-336.

 

10. Nomura S., Shimizu J., Kinjo M., Kametani H., Nakazawa T. (1982). A new behavioral test for antidepressant drugs. European Journal of Pharmacology. 83: 171-175.

 

11. Sunal R., Gumusel B., Kayaalp S.O. (1994). Effect of changes in swimming area on results of ‘Behavioral Despair Test’. Pharmacology Biochemistry and Behavior. 49(4): 891-896.

 

12. Abdul Razak Kasmuri, Md. Lukmi Ismail, Siti Amrah Sulaiman, Syed Mohsin Sahil Jamalullail (1998). Psychopharmacological aspect of post partum jamu. Program and abstract of the 14th scientific meeting of Malaysian Natural Products Society.

 

13. Montgomery K.C. (1955). The relation between fear induced by novel stimulation and exploratory behavior. J. Compr. Physiol. Psychol. 48: 254-260.

 

14. Pellow S., Chopin P., File S., Briley M. (1985). Validation of open: closed arm entries in an elevated plus-maze as a measure of anxiety in the rat. J. Neurosci. Meth. 14: 149-167.

 

15. Lister R.G. (1987). The use of a plus-maze to measure anxiety in the mouse. Psychopharmacology. 92: 180-185.

 

16. Cruz A.P.M., Frei F., Graeff F.G. (1994). Ethopharmacological analysis of rat behavior on the Elevated Plus-maze. Pharmacology Biochemistry and Behavior. 49 (1): 171-176.

 

 

FIGURES

 

Technorati Tags: Antianxiety, Antidepressive, Citrus, Effects, Essential, Mice, Oils

By Michael Backman (http://www.michaelbackman.com)
November 15, 2006

Adapted-commented by Malaysia My Second Home November 23, 2006

Malaysia: peace and harmony at the outside

MALAYSIA’S been at it again, arguing about what proportion of the economy each of its two main races — the Malays and the Chinese — owns. It’s an argument that’s been running for 40 years. That wealth and race are not synonymous is important for national cohesion, but really it’s time Malaysia grew up.

It’s a tough world out there and there can be little sympathy for a country that prefers to argue about how to divide wealth rather than get on with the job of creating it.

And the more time and energy we spend on re-dividing the wealth, the less energy remains for creating more wealth. And with less wealth to go around, sooner or later somebody is going to get very angry: and we all have the racial riots at the back of our head seen in Indonesia not even 10 years ago…

Malaysia: positive discrimination for the Malays

The long-held aim is for 30 per cent of corporate equity to be in Malay hands, but the figure that the Government uses to justify handing over huge swathes of public companies to Malays but not to other races is absurd. It bases its figure on equity valued, not at market value, but at par value.

Many shares have a par value of say $1 but a market value of $12. And so the Government figure (18.9 per cent is the most recent figure) is a gross underestimate. Last month a paper by a researcher at a local think-tank came up with a figure of 45 per cent based on actual stock prices. All hell broke loose. The paper was withdrawn and the researcher resigned in protest. Part of the problem is that he is Chinese.

Another problem is lack of transparency: an issue promised to be tackled by the new PM.

We can be proud to be an example to the outside world that Malaysia is a country with different races and different religions, yet politically pretty stable and having a democracy. But if the majority starts implying that it is their right to re-distribute the wealth of Malaysia in favor of the majority, then where is the interest of ALL Malaysians? All Malaysians know the importance of "sharing", yet sharing doesn’t mean that all must be shared with the majority only.

Malaysia tourism slogan: Malaysia Boleh

"Malaysia boleh!" is Malaysia’s national catch cry. It translates to "Malaysia can!" and Malaysia certainly can. Few countries are as good at wasting money. It is richly endowed with natural resources and the national obsession seems to be to extract these, sell them off and then collectively spray the proceeds up against the wall.

It is a pain in the eye to see neighbour Signapore economically reaching a "developed" stage without natural resources, where Malaysia with natural resources only aims at 2020 to reach a similar status.

Where is Malaysia?

This all happens in the context of Malaysia’s grossly inflated sense of its place in the world.

Most Malaysians are convinced that the eyes of the world are on their country and that their leaders are world figures. This is thanks to Malaysia’s tame media and the bravado of former prime minister Mahathir Mohamad. The truth is, few people on the streets of London or New York could point to Malaysia on a map much less name its prime minister or capital city.

As if to make this point, a recent episode of The Simpsons features a newsreader trying to announce that a tidal wave had hit some place called Kuala Lumpur. He couldn’t pronounce the city’s name and so made up one, as if no-one cared anyway. But the joke was on the script writers — Kuala Lumpur is inland.

Malaysian oil

Petronas, the national oil company is well run, particularly when compared to the disaster that passes for a national oil company in neighbouring Indonesia. But in some respects, this is Malaysia’s problem. The very success of Petronas means that it is used to underwrite all manner of excess.

Yet is all this a success-story? To answer that, you should compare the figures of efficiency of treating oil by Petronas compared to other companies. It is said that Petronas is far less efficient in the cost of producing oil compared to other companies. Yet again a lack of transparency will make this just another rumour, probably said by somebody of the minority, so obvious…

Bank bale outs, a formula one racing track, an entire new capital city — Petronas has paid for them all. It’s been an orgy of nonsense that Malaysia can ill afford.

Why? Because Malaysia’s oil will run out in about 19 years. As it is, Malaysia will become a net oil importer in 2011 — that’s just five years away.

Kuala Lumpur

The KLCC development in central Kuala Lumpur is an example. It includes the Twin Towers, the tallest buildings in the world when they were built, which was their point. (The building at the left of the Twin tower is the Maxis building: Malaysia’s first mobile phone operator)

It certainly wasn’t that there was an office shortage in Kuala Lumpur — there wasn’t.

Malaysians are very proud of these towers. Goodness knows why. They had little to do with them. The money for them came out of the ground and the engineering was contracted out to South Korean companies.

They don’t even run the shopping centre that’s beneath them. That’s handled by Australia’s Westfield.

Malaysians in space

Next year, a Malaysian astronaut will go into space aboard a Russian rocket — the first Malay in space. And the cost? $RM95 million ($A34.3 million), to be footed by Malaysian taxpayers. The Science and Technology Minister has said that a moon landing in 2020 is the next target, aboard a US flight. There’s no indication of what the Americans will charge for this, assuming there’s even a chance that they will consider it. But what is Malaysia getting by using the space programs of others as a taxi service? There are no obvious technical benefits, but no doubt Malaysians will be told once again, that they are "boleh". The trouble is, they’re not. It’s not their space program.

Especially when the space experiment of the Malaysian astronaut will be to see if they can make our national Malaysian drink Teh Tarik in space… Please, how stupid must Malaysia look saying things like this? Yet, thanks to our new Prime Minister, so people do start opening their mouth and advising about other things to do than the things that are done now. But our newborn Malaysian freedom of speech is still a newborn. And lots of times this new criticism is not taken for what it is: trying to make a better Malaysia for all Malaysians.

Malaysians in England

Back in July, the Government announced that it would spend $RM490 million on a sports complex near the London Olympics site so that Malaysian athletes can train there and "get used to cold weather".

But the summer Olympics are held in the summer.

So what is the complex’s real purpose? The dozens of goodwill missions by ministers and bureaucrats to London to check on the centre’s construction and then on the athletes while they train might provide a clue.

Malaysia conclusion

So it’s in this context that the latest debate about race and wealth is so sad.

It is time to move on, time to prepare the economy for life after oil. But, like Nero fiddling while Rome burned, the Malaysian Government is more interested in stunts like sending a Malaysian into space when Malaysia’s inadequate schools could have done with the cash, and arguing about wealth distribution using transparently ridiculous statistics.

That’s not Malaysia "boleh", that’s Malaysia "bodoh" (stupid).

Like it was Malaysia Boleh to have our national Proton car produced… yet Malaysia Bodoh to sign an agreement with Mitsubishi to help manufacturing the cars yet not to do any knowledge transfer from Mitsubishi to Proton.
Or as we would say: NO BRAIN, NO GAIN (for a long term policy)

Technorati Tags: Malaysia | Kuala Lumpur | Malaysia newspaper | Twin Towers Pictures | Twin Towers Photos | Petronas Tower

ABOUT PORTUGAL

Positioned on the Atlantic side of the Iberian Peninsula, Portugal is a great historic country of immense diversity. From the culture and prosperity of Lisbon, through the beautiful wine regions and the Sun, sea and sand of the Algarve, Portugal offers something for everyone. Modern marinas and spectacular golf courses mean that here are plenty of activities.

As with all South European countries, the Portuguese are very fond of food, with fish being high on the menu. A particular speciality is grilled sardines, which is a delicious dish. Wine is likewise important with excellent red and white table wines as well as the ubiquitous Port.

It is the most westerly country in Europe and has the same time zone as the United Kingdom and Ireland. The currency is the Euro but prior to 2002 it used the Escudo. The population was estimated to be 10.6 million people as of July 2006 and the predominant religion is Roman Catholic, with 97% of the population describing themselves of this faith.

The language is Portuguese, which is a romance language, similar in structure and spelling to Spanish, but pronunciation and accent are completely different, often bewildering non-speakers.

The current president is Aníbal Cavaco Silva and the Prime Minister is José Sócrates.

Portugal has been a country since the Twelfth Century, A.D. when Count Alfonso pronounced himself King Alfonso of Portugal. Since then Portugal has been through revolutions, civil war, a right-wing dictatorship in the Twentieth Century before settling on a democracy in 1976 and joining the European Union ten years later.

Portuguese explorers roamed the World and claimed many lands for the Portuguese. The most famous and prolific being Vasco de Gama, establishing trade links to India; Pedro Álvares Cabral, claiming Brazil; and Alfonso de Albuquerque who conquered Goa and Malaysia.

After years of economic decline, resulting in the embracing of democracy, Portugal’s economy has recovered and it has become a modern European nation. Tourism is a major industry but it is still mostly rural with farming communities and great wine-growing regions.

The Duoro is the region for Portugal’s most famous export: Port. Real Port only comes from the Duoro valley and all of the famous names can be found there: Taylor; Graham; Fonseca; Dow; Warre; Sandeman; Croft, as well as many others making this delicious fortified wine. The wine growing regions offer a different kind of holiday destination with beautiful countryside and spectacular scenery, relaxing atmosphere and friendly, knowledgeable locals.

The most well-known and popular tourist location is the Algarve in the South of the country. Famous for sandy beaches, marinas, fishing and golf courses, the Algarve offers a great deal to the sun-seeker and is extremely family-friendly. The hotels in the region are modern and the facilities are of good quality. This region also provides good nightlife and a wide range of restaurants. The area is served by an Airport at the administrative centre, Faro, and the major centres include such resorts as Albufeira and Vilamoura .

The capital of the country is Lisbon, located in its own region in the West of the country. It has a population of 564,000 and the region has approximately 2.7 million inhabitants. The region is the most densely populated in the country and also the wealthiest. As an ancient and important capital city Lisbon is also a great place to visit with many impressive sights, including the imposing Vasco de Gama Bridge, the longest in Europe at over 17 Km.

Property Market

For many inhabitants of countries such as the UK, where the summers can be brief and the winters cold, Portugal holds many attractions. While the whole country is experiencing a buoyant property sector, the south of the country is proving particularly popular. Portugal is a land with has the natural unspoilt beauty of the hills, to the more developed holiday resorts in the south. As with most warm climate countries there is a vast array of properties available, from holiday homes, to town houses and many different sized apartments.

The Portuguese construction sector is one of the most liberal within Europe, with no direct barrier to foreign invest. There are obviously various building and health and safety regulations which need to be respected, but overseas investor are not are not forced to employ a Portuguese partner.

It is highly unlikely that foreign investors will be able to obtain a mortgage in Portugal itself, and finance will need to be arranged in their home states. The purchase process is slightly different in that all buyers must obtain a tax registration from the local authorities and nominate a Portuguese address for documentation purposes. Many of the older developments in the country (often in excess of 20 years) may well be community owned (the equivalent of a Housing Association in the UK) and buyers will be required to buy a share in the development, and abide by the “community” rules.

As many UK citizens have sampled the delights of the Algarve, this is proving to have a longer term lure for many people. Holiday homes are very popular in this area which has a hot climate for over 75% of the year. The Algarve has been popular for many years, and house prices have shown above average growth over the last few years. There are however signs that new “fashionable” areas in the north are receiving significant interest.

It is advisable to check out the administration costs of buying property in Portugal, as legal fees and stamp duty are not the cheapest in Europe. Overall, it looks as thought the property sector may continue a gradual climb in the short to medium term.

Why Invest in Portugal?

There is no doubt that the holiday resorts have been the best selling point for Portugal, with long white sandy beaches, a favourable climate, and miles of coastline. This is proving particularly attractive to many UK citizens, with strong UK ties visible throughout much of southern Portugal.

Unlike many countries who look for foreign investment at any cost, the Portuguese authorities take a strict line about preserving the beautiful rugged landscapes, and property development licences are carefully considered prior to clearance. For those looking to retire to take up more relaxing leisure activities there are vast arrays of golf course, tennis court, swimming pools, and more. Average apartment prices range from £130,000 for a two bedroom apartment, to £170,000 for a three bedroom home.

There is a very strong sale to let market, but this is concentrated on furnished accommodation, general for the short term holiday makers. As more people wake up to the beauty of Portugal, demand continues to grow and the property market is performing well, although like the Algarve there are a number of property “hotspots”.

Outlook

With many parts of Portugal still untouched by the booming property market, there is plenty of potential for capital growth from a modest investment. As the level of interest in the country continues to grow, there is even more good news from the government, who are currently reforming their tax laws to make investment in Portugal even more attractive.

A number of areas have been earmarked as potentially lucrative investment sites, including Almancil, Loue, Carvoeiro and Tavira to name but a few. At a time when the UK property market is riding the crest of a wave, many people are opening up to the idea of reinvesting part of their liquidity overseas.

While the Portuguese economy has had a volatile reputation in the past, the government are beginning to see the fruits of their inward investment with great improvements in the transport network. As with many European countries these days, they are going through the change from a manufacturing economy to a services led economy. Again this is proving successful, and improving the overseas reputation of Portugal.

Technorati Tags: Portugal, Property