The Diáiro Insular newspaper (DI) from Terceira Island had access to the regional budget’s preliminary draft, which, according to this newspaper, provides for around 740 million euros (739.72) in direct investment.
This figure is similar to the proposal rejected in November last year, leading to early regional legislative elections.
The document specifies that of the total funds, “42.4% will be allocated to investment expenditure”.
The planned funds amount to 1,743.86 million euros, 978.64 million from own revenues, 378.22 million from transfers from the state budget, and 387 million from EU funds.
Around 1004.14 million will be used for operating expenses and 70 million for debt interest. The Investment Plan absorbs those above 740 million.
The Regional Government of the PSD/CDS-PP/PPM coalition estimates that tax revenue in 2024 will “grow by 69.3 million euros (8.8%) compared to the 2023 budget, and is expected to reach 857.6 million euros”.
According to the preliminary proposal, expenditures are estimated to reach 1.732,9 million euros, “10,9% more than the revised appropriation for 2023.” The executive states that this increase “is essentially related to the increase in expenditure on the Investment Plan and the increase in interest and other debt charges.”
“In personnel expenses, there is an increase of 9.4% compared to the 2023 appropriation. This increase should be sufficient to accommodate the salary increases and career progressions that will take place in 2024,” says the preliminary budget proposal, which is due to be discussed next month in the Azores Legislative Assembly.
The areas of governance with the largest allocation of resources are Health and Social Security, with 28.5%, and Education, Culture and Sport, with 21.9%.

“In the analysis of investment expenditure by department, shown in the table below, the Regional Secretariat for Tourism, Mobility and Infrastructure stands out with 37.2% of the plan’s total, followed by the Regional Secretariat for Health and Social Security, with 12.2%,” says the preliminary proposal.
The document stresses that the macroeconomic forecasts for the region until 2025 “are naturally conditioned by the uncertainty arising from the evolution of the international situation.”
“From mid-2023 onwards, macroeconomic indicators already reflect the effects of European policy reacting to the inflationary pressures that have resulted from an adverse geopolitical context,” it reads.
It points out that, in Portugal, “there is a risk of contraction in private consumption which could put negative pressure on the region’s economic development”.
Economic growth is expected to be slower this year. “With the normalization of economic activity in 2022, the year 2023 appears to be a year of decelerating economic growth, with an estimated growth rate of 2.5%, with a forecast slowdown in 2024 (2%) and growth resuming in 2025 (2.4%), in line with the national economy,” says the preliminary proposal.
In 2022 and 2023, trade and tourism were the driving forces. “According to provisional data from the SREA, in 2023 there were around 3.78 million overnight stays in tourist accommodation as a whole, which represents growth of 15.2% compared to 2022. External demand should continue to account for the majority of demand (around two thirds of total overnight stays), and play an increasingly important role,” the document states.

in Diário Insular-José Lourenço, director