Public construction tenders in Portugal dropped 30% to 5.6 billion euros in the first eight months of 2026, and signed contract values fell 20% to 3.1 billion euros. Despite this, the sector overall forecasts 4.4% growth for the year, supported by increased cement consumption, rising housing credit, and growth in industrial building permits.
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The 2027 State Budget proposal allocates zero euros for the construction of the IC31 road, which connects Alcains to Termas de Monfortinho, despite previous expectations. Additionally, the budget lacks provisions for other regional projects, such as the Alvito dam and the Administrative Court, leaving only 3.58 million euros in capital expenditure for the municipality's health and education entities.
The Confederation of Portuguese Farmers (CAP) is demanding a €140 million government support package to address rising production costs, including energy and fertiliser, which they claim put them at a competitive disadvantage compared to Spanish farmers. The demands include better use of EU-approved aid mechanisms and legislative changes to allow flexible agricultural electricity contracts, though no government agreement has been reached.
The Minister of Agriculture announced that a new support package worth 162 million euros for farmers will be approved this year, in addition to the 200 million euros in increases already mentioned. These funds aim to address sector-wide criticisms regarding financial support.