The Council of Ministers meeting was marked by the debut participation of the presidents of the Autonomous Regions and the announcement of the creation of a joint working group between the Republic, Madeira, and the Azores to prepare a new Regional Finance Law. Luís Montenegro also revealed the holding of the first of several summits between the three governments, which will begin in the Azores, and the allocation of €150 million from the 2026 State Budget to PRR projects.

For the first time, the Council of Ministers meeting was attended by the presidents of the Autonomous Regions of Madeira and the Azores, Miguel Albuquerque and José Manuel Bolieiro. The meeting, chaired by Luís Montenegro, took place yesterday in Lisbon, at the Palacete de São Bento.

The meeting was marked by the Prime Minister’s announcement of a joint working group, comprising representatives from the three governments, to draft a new Regional Finance Law. For Montenegro, the goal is to present “the result of this effort of convergence between the governments” to the Assembly of the Republic next year.

Montenegro stressed that the constitution of the group and the joint efforts between the autonomous regions and the Republic aim to create a law that provides “greater predictability, greater security, greater stability, and greater political capacity for the Autonomous Regions for the coming years,” and that the Government has given “signs of political guidance in deepening the financial relationship between the central administration and the regional administration,” to be enshrined in a new Regional Finance Law.

José Manuel Bolieiro agrees, stating that a “framework for revising the Finance Law of the Autonomous Regions must have this objective in mind and, preferably, have a prior influence on the formation of annual budgets and investment plans.” The Azorean leader expressed confidence that the process will yield “a broadly consensual proposal” based on the technical work developed by Professor Eduardo Paz Ferreira.

For his part, Miguel Albuquerque considers that, at this moment, the Regional Finance Law is an “unfair” and ‘anachronistic’ law, which must be “quickly changed.” Congratulating the Prime Minister on his “vision,” he added that the decision to create a working group will put an end to an uncomfortable situation in which the Presidents of the Governments have to come to Lisbon to “discuss pennies” for each budget.

150 million for the PRR and the first summit between governments in the Azores

Regarding the State Budget for 2026, the proposal for which was approved in general terms this week, Montenegro stated that the document has already “resulted in an increase in financial transfers to the Autonomous Regions.” For the Azores, €150 million is earmarked for PRR projects, in addition to the possibility of consolidating € 75 million in debt from late payments. Another announcement made at the official residence was that the first summit between the Governments of the Republic and the Autonomous Regions would be held in the Azores. The Prime Minister stated that new summits will be promoted in the future, which, according to him, could be an “opportunity to endorse many joint decisions, to serve the interests of the regions and Portugal as a whole, in a spirit of solidarity and collaboration.”

Montenegro highlights “spirit of cooperation in both directions”

The Prime Minister highlighted the historic nature of this participation, the revision of the Regional Finance Law, and the establishment of regular summits between the Republic and the Regional Governments. He said that the actions will take place “from the point of view of social cohesion, economic cohesion, and territorial cohesion, which is a cornerstone of the Government (…) in the way we serve the public interest and the citizens,” highlighting the “spirit of cooperation and solidarity in both directions.”

He added that “this important milestone in the institutional relationship, coordination, and partnership between the Government of the Republic and the Autonomous Regions has allowed us to exchange information and take stock of many issues that are on their respective work agendas.”

Bolieiro praises “political maturity” and “understanding”

The President of the Regional Government of the Azores praised a “landmark occasion for Autonomy and Portuguese Democracy” and stressed that the presence of the Governments of the Azores and Madeira in the Council of Ministers reflects “respect, cooperation, and political maturity,” also highlighting the “importance of dialogue.”

In statements after the meeting, José Manuel Bolieiro said that he had received “understanding” from the Prime Minister and the Council of Ministers on behalf of the Republic:

“It is as a result of this understanding of the Region’s needs that several pending issues between the Republic and the Autonomous Regions were decided today, with particular emphasis on this vision of the financial relationship between the State and the political autonomies that guarantees predictability, stability, regularity, and sufficiency,” he said.

Bolieiro also noted that “the Azores are a Region with needs, which requires national support and solidarity,” but also a “Region of opportunities”:

“Our geography, which is sometimes a challenge, is also a strategic advantage for Portugal and Europe in the maritime and space domains,” he emphasized.

Miguel Albuquerque addresses “equity and social cohesion in the islands”

The President of the Regional Government of Madeira, Miguel Albuquerque, highlighted the need to establish a legal and financial framework “that once and for all takes into account the costs of insularity, transport costs, and the additional costs of education and other areas such as civil protection.”

“It is essential that Portuguese citizens living in the Azores and Madeira have the same equal opportunities, and that Portugal, at the national level, continues to pursue the principles of economic and social cohesion and mobility,” said the governor, concluding that “this is a very important step for the Portuguese democratic state to once again achieve justice, equity, and social cohesion in the islands.”

José Henrique Andrade is a journalist for Correio dos Açores-Natalino Viveiros-director.

Translated into English as a community outreach program by the Portuguese Beyond Borders Institute (PBBI) and the Modern and Classical Languages and Literatures Department (MCLL), in collaboration with Bruma Publication and ADMA (Azores-Diaspora Media Alliance) at California State University, Fresno. PBBI thanks Luso Financial for sponsoring NOVIDADES.