Portugal forms a new government
Luís Montenegro, leader of the Portuguese center-right PSD (EPP) will present his cabinet to form a government today.
Montenegro is the leader of the Democratic Alliance, which narrowly triumphed in the general election earlier this March, putting and end to eight years of Socialist rule. Affordable housing, healthcare and education, as well as the corruption allegations in the previous Socialist government of Antonio Costa dominated the campaign.
The election also saw a surge in support for the far-right Chega. Despite President Marcelo Rebelo de Sousa’s vow to prevent Chega from gaining power, the far-right party has demanded a role in the government in return for its support, and even threatened to vote against the budget.
Chega’s threats make it extremely difficult for Montenegro to form a stable government. Socialist leader Pedro Nuno Santos said his party is unlikely to support a center-right budget, though it is willing to cooperate on other measures, such as healthcare. Meanwhile, a small faction within Montenegro’s alliance is urging him to work with Chega, which would be unpopular with the Portuguese public. Should Ventura, the leader of Chega, refuse to support Montenegro’s government, Portugal could be headed for fresh elections.