Thursday, 26 March 2026

A deal between the Social Democratic Party (Partido Social Democrata or PSD) and Chega, with potential support from the Liberal Initiative (Iniciativa Liberal or IL), appears to have broken the deadlock over appointing Constitutional Court (Tribunal Constitucional) judges. The breakthrough follows pressure from the President's office to ensure the Council of State (Conselho de Estado) can meet with a full membership on April 17. Socialist Party (Partido Socialista or PS) members, including Ana Catarina Mendes, have criticized the arrangement, arguing that Chega should not have a seat on a body dedicated to upholding the Constitution.

Update: PSD and Chega form joint list for Council of State

Chega leader André Ventura announced a formal agreement with the PSD to present a joint list of candidates for the Council of State, effectively reducing the Socialist Party's representation on the advisory body. The deal also covers appointments for the High Council of the Magistracy (Conselho Superior da Magistratura) and includes progress on a new Nationality Law (Lei da Nacionalidade) to address recent court objections. Residents should note that this cooperation signals a significant shift in parliamentary dynamics between the center-right and the far-right.

The Chega party has submitted a motion of no confidence against the Oeiras municipal executive following the indictment of Mayor Isaltino Morais for embezzlement (peculato) and abuse of power. The Public Prosecutor's Office (Ministério Público) alleges that Morais and 22 other officials misused 150,000 euros in public funds for personal meals disguised as business lunches between 2017 and 2024. Oeiras residents should monitor the upcoming Municipal Assembly (Assembleia Municipal) vote on the motion.

The Public Prosecutor's Office (Ministério Público) has charged the Mayor of Oeiras, Isaltino Morais, and 22 other officials with embezzlement (peculato) and abuse of power. The case involves over 150,000 euros spent on 1,441 meals paid for by the municipality between 2017 and 2024, including luxury items like seafood and tobacco. Prosecutors are seeking the return of the funds and the forfeiture of the mayor's mandate, while the Oeiras City Council (Câmara Municipal de Oeiras) refutes the allegations. Oeiras residents should be aware of the potential for leadership changes if the case proceeds to trial.

Update: Details emerge on alleged meal expense embezzlement scheme

New details suggest that local restaurants billed the city council directly for the meals, with payments reportedly made in cash to avoid standard oversight. The scheme allegedly involved costs averaging over 1,200 euros per month, and the list of 23 defendants now includes a current Lisbon city councillor and a former Secretary of State.

During a parliamentary inquiry, former National Institute of Medical Emergency (Instituto Nacional de Emergência Médica or INEM) president Luís Meira testified that the government was aware of the deadlock regarding emergency helicopter tenders before the 2024 strike. Meira contradicted previous statements by the Health Ministry, claiming he provided multiple solutions that were ignored, leaving the institute without clear direction. Those relying on emergency services should note that the inquiry aims to address long-standing staffing and resource shortages.

Update: INEM seeks nearly €1 million in penalties from helicopter provider

INEM intends to fine Gulf Med Aviation Services 926,000 euros for delays and aircraft unavailability during its temporary contract in late 2025. While the company disputes the legitimacy of the fine, the institute maintains the penalties are necessary to address operational failures in the air emergency service (Serviço de Helicópteros de Emergência Médica). Those relying on public healthcare should note that these penalties relate to service gaps that occurred during a period of transition between providers.

Health Minister Ana Paula Martins announced that the government will not meet its goal of assigning a family doctor (médico de família) to every resident by 2027. The minister attributed the delay to a complex situation where new registrations for the National Health Service (Serviço Nacional de Saúde or SNS) are occurring daily, outstripping the recruitment of medical staff. Those relying on public healthcare should be aware that the government no longer has a fixed deadline for universal family doctor coverage.

Authorities conducted searches at the Albufeira City Council (Câmara Municipal de Albufeira) as part of an investigation into suspected racial discrimination and incitement to hatred (incitamento ao ódio). The case involves public statements made by Mayor Rui Cristina regarding the Roma community (comunidade cigana) during a municipal meeting. Albufeira residents should note that Chega leader André Ventura has defended the mayor, calling the investigation an attempt at political intimidation.

The Bank of Portugal (Banco de Portugal) has revised its 2026 economic growth forecast downward, citing geopolitical instability and recent extreme weather events. While the labor market remains stable, employment growth is expected to slow throughout 2025 due to tighter immigration rules and lower economic growth. Consumers should also prepare for higher costs in the food basket (cabaz alimentar) starting in April as Middle East tensions impact global supply chains.

Update: Portugal records 0.7% budget surplus for 2025

The National Statistics Institute (Instituto Nacional de Estatística or INE) confirmed that Portugal ended 2025 with a budget surplus (excedente orçamental) of 0.7% of GDP, significantly higher than the government's 0.3% forecast. Finance Minister Joaquim Miranda Sarmento stated the result provides important financial security, though opposition parties argue the surplus was achieved at the expense of public services. Taxpayers should be aware that this fiscal performance may influence future government spending on infrastructure and social support.

The government announced it may adjust its response to rising prices if geopolitical tensions in the Middle East continue to impact the cost of living. As an immediate measure, the Ministry of Agriculture plans to reduce the price of agricultural diesel (gasóleo agrícola) by 10 cents per liter whenever price hikes exceed that amount. Residents should monitor upcoming Council of Ministers (Conselho de Ministros) decisions for further measures targeting food and energy costs.

A new centralized obstetrics and gynecology emergency service (urgência regional de obstetrícia e ginecologia) will begin operating on April 15 across the Setúbal Peninsula. The service will be split between hubs at the Garcia de Orta Hospital in Almada and the São Bernardo Hospital in Setúbal, while the emergency unit at Barreiro will close. Residents in the region should be aware that while emergency services are consolidating, scheduled maternity care will continue at all local hospitals.

The government reports a positive assessment of the Cooperation Protocol for Regulated Labour Migration (Protocolo de Cooperação para a Mobilidade Laboral Regulada), which has processed over 3,300 visas in its first year. Approximately 60% of these work visas were granted for the agricultural sector to help meet labor demands. Those seeking work visas should note that this protocol aims to accelerate applications through the Portuguese diplomatic network in their home countries.

The Transparency Entity (Entidade para a Transparência) has begun legal proceedings to include the client list of the company Spinumviva in the official income declaration of Prime Minister Luís Montenegro. The move follows a court ruling rejecting the Prime Minister's attempt to keep the list private, though the entity noted that full disclosure still requires his cooperation. Taxpayers should note that this case centers on ensuring transparency regarding the private business interests of high-ranking public officials.

Finance Minister Joaquim Miranda Sarmento announced that the 2025 budget surplus (excedente orçamental) will be a “pleasant surprise” when official data is released this Thursday by the National Statistics Institute (Instituto Nacional de Estatística or INE). While the government previously forecast a surplus of 0.3% of GDP, the final figure is expected to be significantly higher. However, officials warned that 2026 may face a deficit due to the economic impact of recent storms and international conflicts. Residents should note that a strong surplus often influences government decisions on tax cuts and public investment.

A new analysis indicates that Portugal is among the Eurozone countries most affected by European Central Bank (Banco Central Europeu) interest rate increases. Because a high proportion of Portuguese mortgages (crédito habitação) have variable rates, rising costs lead to a sharper contraction in household spending compared to other European nations. Economists also warn that the national economy is showing signs of slowing down due to broader European trends and geopolitical tensions. Those with variable-rate mortgages should monitor ECB policy shifts closely for impacts on their monthly budgets.

European budgetary rules protect countries that maintain a “budgetary situation close to balance,” meaning a deficit of less than 0.5%, from the opening of an excessive deficit procedure.