The government in Portugal has begun discussions with political parties regarding the 2027 budget, forecasting a surplus ranging from 0.1% to 0.2% of Gross Domestic Product (GDP). This projected surplus is considered modest. The Chega party has voiced criticism, arguing that the budget lacks sufficient margin for maneuver and emphasizes the absence of plans for tax reductions. Negotiations are expected to be complex as parties present their priorities for the upcoming fiscal year. The limited surplus raises questions about the government’s ability to implement significant new spending programs or tax relief measures. This initial forecast sets the stage for what promises to be a challenging budgetary process in Portugal. Further details are expected as discussions progress.