Dakar 2027 in the Algarve: what a mega-event brings to a region
The short answer
The 49th Dakar Rally will start in Portugal's Algarve. The service park opens at the Algarve Stadium, between Loulé and Faro, on 5 January 2027. The prologue runs on 9 January and the first stage on 10 January. Then the rally crosses to Morocco and finishes in Marrakech on 23 January. The dates are still subject to approval by the FIA World Motor Sport Council.
The Dakar in the Algarve: key dates
| Date (2027) | What happens | Where |
|---|---|---|
| 5 January | Service park opens | Algarve Stadium, Loulé-Faro |
| 6 to 8 January | Administrative and technical checks | Algarve Stadium |
| 9 January | Prologue | Loulé-Faro area |
| 10 January | First special stage | Across the Algarve |
| Night of 10 January | Overnight sea crossing to Nador, Morocco | |
| 11 to 23 January | 11 stages in Morocco, rest day in Agadir | Bouarfa, Zagora, Agadir, Smara, Dakhla |
| 23 January | Finish | Marrakech |
The full route covers 7,824 km, including 4,341 km of timed special stages (source: FIA, 30 October 2026).
That means almost a week of rally activity in the Algarve, in early January: one of the quietest weeks of the year in the region.
Why the Algarve, and why now
The 2027 edition was planned in Saudi Arabia, where the Dakar has been held since 2020. On 25 October 2026, the organisers confirmed it would not take place there "following recent developments in the region". Five days later, on 30 October, they announced the new route: Portugal and Morocco, a one-off relocation before the rally returns to Saudi Arabia for its 50th edition in 2028.
The choice of Portugal is not random. The Portuguese motorsport federations already organise the Rally-Raid Portugal, a round of the FIA World Rally-Raid Championship since 2022, and it already came through the Algarve in 2026. Morocco hosts the Rallye du Maroc. Both countries know how to run this kind of event.
A story that started in 2008
This is not the Dakar's first appointment with the Algarve.
In January 2008, the rally was due to leave Lisbon and pass through Portimão, on the western Algarve coast. On 4 January, the day before the start, it was cancelled over security threats in Mauritania. The mayor of Portimão said at the time that the municipality had already invested €1.5 million to welcome the caravan, and asked the organisers for it back. The following year, the Dakar moved to South America.
Nineteen years later, the rally returns to the same region, and once again security is the reason. This time, the Algarve is the safe option.
What does a Dakar bring to a host region?
Two kinds of numbers circulate around any mega-event: forecasts, made before, and measurements, made after. They are rarely the same.
Peru, 2018. Before the event, Peru's government expected more than 1.5 million spectators and over US$360 million in economic impact (Andina, Peru's state news agency). After the event, the studies published by the tourism ministry measured more than 1 million spectators and an impact of more than S/130 million (around US$40 million at the time), 58% of it from tourism (PROMPERÚ). Peru still bid again, and hosted the whole 2019 edition.
Algarve, Formula 1, 2020. When Formula 1 returned to Portugal after 24 years, at the Algarve International Circuit in Portimão, the government had announced an impact of "at least €30 million". The circuit later estimated the total impact at €100 million (Expresso). For the Grands Prix of 2027 and 2028, the region expects at least €150 million each year.
What the figures do not show is just as important:
- Timing. These events fill hotels, villas and restaurants in the low season, when the region needs it most. The Dakar lands in the first week of January.
- Images. A Dakar is broadcast worldwide every day for two weeks. The first images of 2027 will be Algarve landscapes, not desert dunes.
- Know-how. Each event trains local teams, suppliers and authorities to host the next one.
The limits are real too: an event of a few days, a lot of public investment, and figures that are often optimistic. The question for any host region is not "how big is the event?" but "what remains once it has left?".
From summer destination to year-round stage
In a few years, the Algarve has built a calendar that few European regions can match:
- 2020 and 2021: Formula 1 at the Algarve International Circuit, Portimão.
- MotoGP: the Portuguese Grand Prix, also in Portimão.
- January 2027: the start of the Dakar, in Loulé-Faro.
- June 2027 and 2028: Formula 1 returns to Portimão. Read our guide: Portugal Grand Prix 2027.
Each of these events brings visitors outside July and August, and shows the region to audiences who might never have looked at it as more than a beach holiday.
How to watch the Dakar in the Algarve
The organisers have not yet published the spectator zones or the exact prologue route. What we know:
- The heart of the operations will be the Algarve Stadium, between Loulé and Faro, about 15 minutes from Faro airport.
- The checks (6 to 8 January) usually let the public see the cars, trucks and bikes up close before the race.
- The prologue (9 January) and the first stage (10 January) will be the only competitive days in Portugal.
We will update this article as soon as the public information is released.
Where to stay during the Dakar
The Algarve is compact: most of the coast is less than an hour's drive from the Algarve Stadium. Our four addresses, from the closest:
- Ocean Bliss, Albufeira (about 30 minutes from the stadium): our closest base to the start, for couples or small families who want to follow the rally. Ocean Bliss
- Ocean Bliss II, Albufeira (about 30 minutes): our second apartment in Albufeira, also close to the start. Ocean Bliss II
- Villa Medusa Paraíso, Carvoeiro (about 40 minutes): four en-suite bedrooms, a rooftop with sea views and a heated pool, for a group of friends or a team. Villa Medusa Paraíso
- Villa Luz Bliss, Praia da Luz (about 55 minutes): a sea-view villa with an infinity pool above Praia da Luz, the quietest choice in the west of the region. Villa Luz Bliss
Booking direct with the owners: no platform service fees, a 5% deposit, and free cancellation up to 45 days before arrival.
FAQ
When does the Dakar 2027 start in the Algarve?
The service park opens on 5 January 2027 at the Algarve Stadium. The prologue is on 9 January and the first stage on 10 January. These dates still need approval from the FIA World Motor Sport Council.
Where exactly does the Dakar 2027 start?
In the Loulé-Faro area, in the Algarve, in southern Portugal. The Algarve Stadium hosts the opening activities.
Is the whole Dakar 2027 in Portugal?
No. Portugal hosts the start, the prologue and the first stage. The rally then crosses to Nador, Morocco, and runs 11 stages before finishing in Marrakech on 23 January.
Why is the Dakar 2027 not in Saudi Arabia?
The organisers decided not to hold the 2027 edition in Saudi Arabia following recent developments in the region. The rally returns there in 2028 for its 50th edition.
Has the Dakar been to Portugal before?
Yes. The rally started from Lisbon in 2006 and 2007, and the 2008 edition, due to pass through Portimão, was cancelled the day before the start.
Is January a good time to visit the Algarve?
It is the quietest month of the year, with mild days and few visitors. In 2027, it will also be one of the busiest weeks in Loulé and Faro: book early.
Sources: FIA, 30 October 2026 · FIA, 25 October 2026 · Reuters, 30 October 2026 · Portugal Resident, January 2008 · Andina · PROMPERÚ · ECO, 23 October 2020 · Expresso, 16 December 2025. Information checked on 1 November 2026.