Centre-right government in Portugal – Nationalist Chega grows unabated

Portugal’s center-right Democratic Alliance (AD) won the 2024 legislative election, forming a minority government under Prime Minister Luís Montenegro. The far-right Chega gained influence, complicating governance.
To avoid political instability, the 2025 state budget passed with the Socialist Party (PS) abstaining. Key policies include tax incentives for young workers to prevent emigration and a corporate tax cut to 20% to boost investment.
Looking ahead, local elections in late 2025 could reshape municipal leadership, as nearly 40% of mayors are term-limited and cannot seek re-election.
Riks Europe is joined by Miguel Nunes Silva, Director of the Trezeno Institute and a local councilman in Portugal.