This Wednesday, the Finance Minister opened the door wide open to the Government’s formal support for Mário Centeno’s candidacy for vice-presidency of the European Central Bank (ECB). In statements made to journalists in Brussels, Miranda Sarmento stressed that the executive “always sees with satisfaction when a Portuguese person can reach an international position”, “as happened, for example, with António Costa recently”.
And if this Portuguese person is Mário Centeno, the satisfaction is the same, a journalist later asked. Sarmento did not back down: “Satisfaction is the same for everyone, but today the Eurogroup process will only indicate the calendar and the entire formal process, and it is extemporaneous Let’s talk about names now. This is a moment that will occur later in the Eurogroup”, he highlighted.
There was yet another insistence from journalists, with a potentially uncomfortable question: “What conditions does Mário Centeno have to be vice-president of the ECB who didn’t have to be Governor of the Bank of Portugal?” “DWe will leave this analysis for later”, was the evasive response.
With the departure of Luis De Guindos from the European institution in May, the name of the former governor of the Bank of Portugal (BdP) is mentioned in succession to the vice-presidency of the European institution. The Express reported in October, Centeno already gathered some support from Southern European countries, but many were awaiting a position from the Montenegro Executive.
In the summer, the Government decided not to reinstate Centeno as governor of the BdP, despite the former socialist minister having stated in an interview with RTP that I would like to stay for a second term.
The choice of the successor to the next vice-president of the ECB, whoever it may be, will always be a decision taken by the European Council and the European Parliament. The person chosen will serve an eight-year, non-renewable term.
It is up to the president of the ECB to ask the president of the European Council to start the process, followed by the presentation of candidacies by member countries, which are discussed among finance ministers before putting forward a name for recommendation to the European Council. The candidate is heard in the European Parliament – which, along with the ECB’s governing council, gives its opinion on the individual – before being appointed by the European Council.
National economy “in a good moment”
In statements to journalists, Miranda Sarmento also said that the Portuguese economy “is showing very significant dynamism”. The assessment comes in anticipation of the European Commission’s autumn economic forecasts, which according to Lusa will be released next Monday.
“Last week we saw the employment and salary numbers, with very strong growth in employment until September, an even more significant growth in salaries, therefore, in the real income of the Portuguese. The Portuguese economy is in a good moment”, concluded the minister.
“The budget execution that we know up to September also shows a very robust budget execution. We are confident that, both this year and next, we will have surpluses”, stated Miranda Sarmento, even with the caveat that “2026 is a more demanding year” due to the existence of “a very high amount of PRR (Recovery and Resilience Plan) loans to be executed, which is worth around 0.7%, 0.8% of the GDP (Gross Domestic Product), and which naturally creates greater budgetary pressure.”
The minister added that the country maintains, for 2025 and 2026, “a forecast of budget balance and reduction of public debt”.