The governor’s mandate lasts five years, until July 2030.
Mário Centeno has expressed willingness to continue leading the central bank, but it is uncertain if the former Finance Minister will be reappointed.
On Sunday, July 20, Prime Minister Luís Montenegro confirmed that the government will announce the decision after the Council of Ministers meeting.
In Funchal, Madeira, when questioned by journalists about the profile for the position, he emphasized that “the profile of the governor of the Bank of Portugal does not change over time,” and should be “a competent person, someone who ensures all that is required of a central bank’s functions, within the framework laid out at a European level today.”
This assurance was given by the Prime Minister upon arrival at the Festa do Chão da Lagoa of PSD/Madeira. Luís Montenegro was also asked about his expectations from the President of the Republic regarding the nationality law.
Tomásia Sousa | 11:05 – 20/07/2025
During the term, there have been several instances of tension between the governor and the government, and days before choosing the new appointee, the executive decided to request an audit by the General Inspection of Finances (IGF) regarding the construction process of the new Bank of Portugal building in Lisbon.
The decision came after the online newspaper Observador reported on Monday, July 21, that the value of the upcoming facilities on the land of the former Feira Popular, in Entrecampos, will exceed the 191.99 million euros stated in the purchase and sale agreement, signed in May between the Bank of Portugal and Fidelidade. The defined value refers only to structural works, with the newspaper estimating that the total cost could rise to 235 million euros.
When announcing the audit on Tuesday, July 22, “in light of the news about the new building,” the Finance Minister’s office stated that the audit was initiated “to defend the institution [the Bank of Portugal] and in full respect of its independence.”
Mário Centeno, with the support of his administration, signed a preliminary contract with four companies of the Fidelidade Group for the construction of the new central bank headquarters on the former Feira Popular grounds in Lisbon, shortly before the end of his mandate as governor of the Bank of Portugal. This has sparked controversy, along with reactions from the central bank (and a request for a parliamentary hearing by CDS-PP).
Notícias ao Minuto with Lusa | 14:50 – 21/07/2025
Centeno has been governor since July 20, 2020, chosen by the government of António Costa, after serving as Finance Minister in two PS governments, the XXI Constitutional Government (2015-2019) and the XXII Constitutional Government (2019-2020).
Formally, Mário Centeno’s term ended on Sunday, but he remains in office until the official designation of the new governor. The central bank’s head is appointed by the government but must appear before the Assembly of the Republic for a hearing before taking office.
Since parliamentary committees are only functioning until Friday, July 25th, this process is likely to occur in September when parliamentary activities resume.
Today, the European Central Bank’s July monetary policy meeting is also taking place in Frankfurt, with Mário Centeno participating as a board member.
