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EDITOR IN CHIEF- ABDULLAH BIN SALIM AL SHUEILI

Portugal's political tightrope: The dynamics of coalition-building

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Portugal's Prime Minister Luis Montenegro's new centre-right minority government has assumed power, albeit with uncertainty shrouding its longevity in the face of a highly fragmented parliament.


Emerging victorious in the March 10 election by a narrow margin over the outgoing Socialist Party (PS), the Democratic Alliance (AD) coalition now grapples with the challenge of governance amidst divisive political currents. In his address last Tuesday, Montenegro reiterated the government's commitment to serving its full four-and-a-half-year mandate with determination, emphasising the values of humility, patriotic spirit, and dialogue. Simultaneously, he also called upon the opposition to reciprocate these principles, fostering an environment conducive to constructive engagement and bipartisan cooperation.


As Portugal navigates this period of political transition, the success of Montenegro's administration hinges not only on its ability to navigate the complexities of governance but also on fostering a spirit of unity and collaboration across the political spectrum. Montenegro sounded quite pragmatic when he said that the upcoming investiture in parliament indicates that the opposition will likely adhere to the principle of allowing us to function and implement the government's agenda.


In Portugal's political landscape, the Democratic Alliance (AD) finds itself in a precarious position with only 80 seats in the 230-seat legislature. To advance its legislative agenda, the AD must seek support from either the far-right Chega party or the centre-left PS, both of which hold significant parliamentary sway with 50 and 78 seats, respectively.


However, negotiations have hit an impasse as Chega, an anti-immigration party emblematic of the rise of right-wing populism in Europe, demanded a government role or a long-term agreement to support the AD.


Despite mounting pressure, Prime Minister Montenegro remains steadfast in refusing to engage in discussions with Chega, underscoring the complexities of coalition-building in Portugal's evolving political landscape. As the AD navigates this delicate dance of alliances, the outcome holds profound implications for Portugal's political direction and governance effectiveness. Montenegro's political tightrope was laid bare as Chega rebuffed his nominee for parliamentary speaker, later elected with PS assistance. However, the PS cautioned that this support was a temporary “one-time” measure to overcome parliamentary deadlock. With the AD minority government now in power, negotiations are expected to intensify post-summer, particularly concerning the state budget.


Portuguese Prime Minister Luis Montenegro signs the protocol during the swearing-in ceremony of the new government, at Ajuda Palace in Lisbon. - Reuters
Portuguese Prime Minister Luis Montenegro signs the protocol during the swearing-in ceremony of the new government, at Ajuda Palace in Lisbon. - Reuters


Despite these challenges, the elections witnessed a remarkably low abstention rate, signaling broader civic engagement and a more diversified electoral landscape.


The recent surge in support for Chega in Portugal's elections can be attributed to several factors. One key element is the relatively low abstention rate, which allowed Chega to capitalize on disillusioned voters seeking alternatives. By combining anti-corruption rhetoric with a staunchly neoliberal economic platform, Chega appealed to a segment of the electorate disenchanted with mainstream politics. Moreover, the prevalence of anti-establishment sentiment, predominantly espoused by the far right, resonated strongly with young voters, further bolstering Chega's support base.


However, the refusal of AD and its leader, Montenegro, to entertain the possibility of a coalition with Chega paradoxically contributed to the latter's popularity. This stance positioned Chega as the repository for protest votes, underscoring the complexities underlying the far right's ascendance in Portuguese politics. Understanding these dynamics is crucial in comprehending the broader implications of Chega's rise within the country's political landscape.


While the administration may secure passage of certain initiatives with cross-party cooperation, its main challenge lies in navigating the 2025 budget through parliament. This legislative cornerstone will serve as a litmus test, reflecting the government's capacity to implement its agenda effectively amid complex political dynamics and competing interests.


Historically, Portugal's failure to pass a budget often precipitates premature elections, a scenario likely to pressure the AD into negotiations with the PS for fiscal approval. Prime Minister Montenegro's admonition to the PS underscores the pivotal role of constructive engagement versus obstructionism in parliamentary proceedings. As the AD navigates this delicate balancing act, the outcome will shape the trajectory of governance and political dynamics in the country for the foreseeable future. As Portugal navigates through this uncertain political terrain, the path to a stable government remains elusive.


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