The government approved today, in the Council of Ministers meeting, the State Budget proposal for 2026, announced by the Minister of the Presidency, António Leitão Amaro.
The government’s State Budget proposal for 2026 must be submitted to parliament by this coming Friday, October 10, following the presentation of the macroeconomic framework for next year’s budget to the parliamentary parties by the Minister of State and Finance, Joaquim Miranda Sarmento.
The parliament will conduct the general debate on the government’s State Budget proposal for 2026 on October 27 and 28, with the final global vote scheduled for November 27.
Prior to the plenary session’s general debate, the executive’s proposal will be presented to the Budget and Finance Committee by the Minister of State and Finance, Joaquim Miranda Sarmento, on October 24 at 10:00 a.m. On the same day, in the afternoon, the Minister of Labor, Solidarity, and Social Security will also appear before the committee.
The detailed budget process in plenary will commence on November 20.
Last year’s budget for 2025, the first under Luís Montenegro’s government, was approved in a final global vote by the PSD and CDS, with the PS abstaining, and the Chega, Liberal Initiative, Left Bloc, Livre, PCP, and PAN voting against.
Regarding budgetary matters, the Minister of State and Finance, Joaquim Miranda Sarmento, has emphasized that Portugal recorded a “steeper reduction” in debt, reaching 93.6% of GDP (Gross Domestic Product).
Concerning the Public Finance Council’s forecast indicating that the Portuguese economy will grow by 1.9% this year and 1.8% in 2026—a downward revision from April’s projection due to lower public investment and exports—the Finance Minister acknowledged that “the next year poses a more demanding budgetary scenario.”
According to the report submitted to Brussels in April, the government expects to achieve a budget surplus of 0.3% of GDP this year and 0.1% in 2026.
Despite estimates suggesting Portugal might return to deficits next year, the Finance Minister has maintained the projection of a 0.1% surplus in 2026.
