Centeno criticizes ad hoc government budget announcements

Wednesday, 9 September 2026AI summary

🏛️ Government 💶 Finance #state-budget #government-policy

Centeno criticizes ad hoc government budget announcements — Photo: ECO

Former Finance Minister and former Bank of Portugal governor Mário Centeno has criticized the government's recent announcements regarding pension bonuses and tax cuts. Centeno argued that such measures should be integrated into the formal State Budget (Orçamento do Estado) process rather than presented as ad hoc decisions.

Context & Explainers

Governor of Banco de Portugal (2020–present)
Former: Minister of Finance (2015–2020), President of the Eurogroup (2018–2020)
Party: Independent (PS-affiliated)
Background: Economist (PhD, Harvard)

Mário José Gomes de Freitas Centeno (born 1966) is Portugal's central bank governor and one of the country's most internationally recognized economic figures. As Finance Minister under António Costa's first PS government, he became known as "Cristiano Ronaldo of European finance" for turning Portugal's deficit into a surplus while reversing austerity.

He was elected president of the Eurogroup (the informal body of euro area finance ministers) in 2018 — the first Portuguese to hold the role. Since becoming Governor of Banco de Portugal in 2020, he sits on the ECB's Governing Council and oversees Portuguese banking supervision and financial stability.

The State Budget (Orçamento do Estado or OE) is Portugal's annual law that sets public spending, taxes and economic policy; the government prepares a draft and the Assembly of the Republic votes on it so the rules usually take effect from January 1. OE 2026 modestly strengthens tax measures linked to teleworking, which can change how home-office costs, employer contributions or deductions are treated and therefore matters for expats who work remotely from Portugal because it can affect net pay and tax reporting.