Portugal’s Socialist Party (PS) has resolved two of its four key conditions for approving the 2027 state budget (OE2027). These relate to pension policies and the Recovery and Resilience Plan (PRR). However, crucial sticking points remain regarding support for victims of recent storms and, more significantly, the scope of potential constitutional revisions. The latter issue is described as particularly sensitive and challenging. Negotiations continue as the PS seeks full agreement on all conditions before lending their support to the budget. The unresolved issues threaten to delay or derail the budgetary process, potentially leading to political instability. Resolution of these points is vital for the financial planning of the country.