At a press conference upon arriving in Monaco for a state visit, Portuguese President Marcelo Rebelo de Sousa addressed the beginning of the debate and voting on the State Budget for next year (OE2026). With the final vote scheduled for next week, he remarked that “if it is possible to have a surplus for the coming year, it is better than having no surplus, because part of the interest on PRR loans will be due next year.”
“The year 2026 is challenging due to the PRR needing to be fulfilled by the end of next year and delays in its execution. Moreover, there is the burden of loan interest payments […] but I sense that all political players understand the need to strike a balance between current needs and a widely agreed national principle: balance in public accounts.”, he asserted.
The head of state continued by indicating that achieving this balance “means it is preferable to be positive rather than negative, to have a surplus, however small, rather than a deficit, in the current global setting”, referring to the “political uncertainty” that, he stated, “translates into economic and financial uncertainty.”
The parliament commenced today the debate and voting on OE2026 in detail, embarking on a five-day marathon concluding with the final overall vote on November 27.
Throughout the mornings, the parliament will debate the articles and proposed amendments of OE2026, with afternoon sessions dedicated to voting on the amendments item by item, in a year witnessing record-breaking proposal submissions by parties.
The debate and voting processes start today and will continue for five days, pausing briefly for celebrations on November 25, with the closure of debate and final overall vote slated for November 27.
Among the amendment proposals, significant measures include pension increases, submitted by nearly all parties, along with the elimination or exemption of certain tolls.
The Government submitted the OE2026 to parliament on October 9, just ahead of the deadline and three days before local elections.
In the macroeconomic scenario, the PSD/CDS-PP Government forecasts a GDP growth of 2% this year and 2.3% in 2026.
The executive aims for surpluses of 0.3% of GDP this year and 0.1% next year, with the debt-to-GDP ratio projected to decrease to 90.2% in 2025 and 87.8% in 2026.
The proposal was approved in the general vote on October 28, with favorable votes from PSD and CDS-PP, abstentions from PS, PAN, and JPP, and opposition from Chega, PCP, IL, Livre, and BE.
