LUSA 04/14/2026

Lusa - Business News - Portugal: Audits will end local officials' fear of deciding – Prime minister

Maia, Portugal, April 13, 2026 (Lusa) - Prime Minister Luís Montenegro said on Sunday that new rules governing how the Court of Auditors monitors public contracts are intended to dismantle a culture where local mayors and administrative leaders are afraid to make decisions.

“Last week, the cabinet approved the reform of the Court of Auditors’ operations. In the coming weeks, we will approve a new legal framework for public procurement, all under the principles of trust, responsibility and the empowerment of public decision-makers,” he said at the close of the district conference organised by the Social Democrats and the CDS-PP (People's Party) in Maia, Porto.

He said that he did not want a country where administrators or government officials lived in fear of taking action.

On Thursday, the government approved a draft bill to revise the rules governing the Court of Auditors’ oversight of public contracts, which exempts expenditure of up to €10 million from prior scrutiny.

He also expressed his desire for a nation in which those elected as representatives would fulfil their responsibility to take decisive action.

“The people elect their representatives so that they may make decisions, and that they may do so seriously, swiftly and correctly,” he said.

According to Montenegro, excessive regulation in public administration and political decision-makers who were held hostage by layers of rules, procedures, and bureaucracy served as more than just a breeding ground for corruption, causing Portugal to lose its potential for investment, development, and wealth creation.

The government was investing heavily in state reform and was well-prepared for the healthy political battle that lay ahead in this regard, he said in a speech lasting over 45 minutes.

“We hope there will be a sense of the future, of community and of boldness, so that we can confidently embrace a shift in mindset and culture and become more agile and competitive,” he said.

Anyone unwilling to take a chance on a more prosperous Portugal would side with the protesters, wanting everything to stay the same, he added.

He challenged opposition parties in parliament to join this initiative, contributing to a long-term vision for the country that would transcend the current governing coalition and last for decades.

“Let it be a new mindset, a new culture and a country for the coming decades, regardless of parties and governments,” he said.

He also described the ongoing reform process as highly ambitious, aiming to simplify procedures, speed up decision-making, shorten deadlines, eliminate redundancies and make life easier for people, businesses and citizens.

The Court of Auditors' president said that the removal of prior approval entailed risks to public finances and could undermine the state’s credibility, while also constituting, in her view, an “invitation to laxity” for managers.

SVF/MYAL // ADB.

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