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Fragility of Rule of Law in Portugal

Rule of Law in PortugalPortugal’s journey since the turn of the millennium presents a paradox: a nation celebrated for progressive social policies that simultaneously grapples with deep-seated fragilities in the rule of law in Portugal. While landmark reforms have advanced human rights, systemic issues like corruption, entrenched social inequality and political instability continue to challenge public trust and the very foundations of its democratic institutions. This delicate balance between progress and peril defines the current state of the rule of law in Portugal.

The Reasons for Challenges With Fragility and the Rule of Law in Portugal

  • High-profile Corruption Cases and Political Polarization: Over the past decade, former officials, bankers and public figures have featured in corruption cases that shook Portuguese politics and finance. These prosecutions show that institutions can and do act — but they also erode public trust and fuel political polarization when citizens see accountability as uneven. According to Statista, 91%of Portuguese in 2025 believe corruption remains widespread in the country, up slightly from 90% in 2013. Moreover, Transparency International gave Portugal a score of 57 out of 100 in its 2024 Corruption Perceptions Index, marking the lowest score in recent years and ranking Portugal 43rd among 180 countries.
  • Institutional Obstacles, Sluggish Justice and Capacity Constraints: Portuguese judicial institutions confront chronic delays, particularly in administrative and tax courts, which undermines the rule of law in Portugal. Long delays reduce the law’s deterrent effect and deepen public frustration with the timely delivery of justice.
  • Legal Reforms Under Political Pressure: Political pressure sometimes prompts rapid legal modifications such as proposals to broaden asset-confiscation powers without a criminal conviction. Although such moves aim to strengthen enforcement, critics argue they risk undermining the presumption of innocence and property rights. These proposals illustrate the tension between the need for effective anti-corruption enforcement and the protection of fundamental rights, which is central to any robust rule of law in Portugal.
  • Transparency, Oversight and Conflicts of Interest: Various international watchdogs, including GRECO, repeatedly call on Portugal to strengthen transparency and oversight mechanisms. They recommend robust asset-declaration systems for MPs, judges and prosecutors; enforceable conflict-of-interest rules; and independent oversight bodies. Without these preventive measures, corruption scandals can re-emerge, and the public may conclude that institutions lack integrity.

Poverty and Social Inequality

Poverty remains a serious challenge in Portugal, and weaknesses in the rule of law often deepen socioeconomic vulnerability. In 2023 (reflecting 2022 incomes), official data indicate that roughly 17% of Portugal’s population lived at risk of poverty or social exclusion after social transfers. Some regions, including the Azores, Madeira, the Algarve and northern areas, face especially high risk.

Corruption and weak rule of law undermine governmental capacity to combat poverty. When public resources leak, public procurement inflates and misallocation of funds becomes common, the state loses the ability to deliver fair social services, maintain public infrastructure and allocate welfare effectively. The phenomenon harms not only economic growth but also social equity, increasing income and wealth inequality in which poorly served communities suffer most.

A recent report underscores the link between corruption and social deprivation: corruption erodes health, education and social welfare outcomes in a way that disproportionately harms the poor. Thus, improving the rule of law in Portugal could serve as a structural lever to reduce poverty, foster social inclusion and rebuild citizens’ faith in institutions.

Addressing the Rule of Law in Portugal

Experts from OECD, GRECO and other international bodies recommend a consistent set of reforms, and several named contributors and authorities appear repeatedly in these reports. The OECD justice report lists lead contributors and managers — Elsa Pilichowski (OECD Director for Public Governance), Tatyana Teplova (Senior Counsellor), Chloé Lelièvre (Head of Unit for Access to Justice) and Barbara-Chiara Ubaldi (Head of Unit for Digital Government and Data) — and the report presents specific recommendations to modernize courts, speed procedures and invest in skills and digital case management. GRECO’s evaluation team similarly sets out measures to strengthen asset disclosure, conflict-of-interest rules, post-employment restrictions and lobbying transparency. Transparency International, the EU Commission and independent academics have echoed these proposals.

Portugal has already adopted or launched some of these measures. The government published the National Anti-Corruption Strategy 2020–2024 (ENAC) and created a National Anti-Corruption Mechanism (MENAC) under Decree-Law No. 109-E/2021. MENAC aims to coordinate prevention, monitoring and enforcement across the public administration, and to improve asset-declaration systems, conflict-of-interest rules and whistleblower protection. GRECO and the OECD acknowledge this framework but report partial implementation; follow-up reviews note that Portugal still needs to strengthen enforcement, improve transparency of asset declarations and fully adopt measures on lobbying and post-employment restrictions.

Specific Expert Recommendations and Implementation Status

The OECD recommended modernizing case management, digitizing courts, recruiting targeted personnel and creating specialized chambers for complex economic crime to reduce delays and strengthen enforcement. The OECD named its project leads and listed technical recommendations based on stakeholder interviews and data. Portugal has accepted many recommendations in principle and started pilot digital initiatives, but full roll-out and resourcing remain works in progress.

Meanwhile, GRECO recommended enforceable asset-declaration rules, independent oversight and stronger cooling-off rules for high officials. The 2025 compliance report records partial implementation of several recommendations and outstanding gaps.

Additionally, the EU Commission recommended speeding up administrative and civil procedures and strengthening judicial capacity; national progress reports link these recommendations to OECD technical assistance projects.

The National Anti-Corruption Strategy and MENAC

The National Anti-Corruption Strategy 2020–2024 (ENAC) entered the official agenda in 2020–2021, and the Decree-Law No. 109-E/2021 (December 2021) established the National Anti-Corruption Mechanism (MENAC).

MENAC’s mandate includes coordinating implementation of the National Strategy, monitoring and evaluating anti-corruption actions across public bodies, improving prevention measures such as asset and interest disclosures, and strengthening whistleblower protection. The overall strategy sets out an action plan with measures on prevention, enforcement, transparency and international cooperation.

MENAC has centralized coordination functions, launched monitoring mechanisms and supported revisions to disclosure and whistleblower rules. Observers and follow-up reports (GRECO, OECD, EU) record progress on institutional design and legal frameworks, while also noting gaps in enforcement, the need for stronger oversight and incomplete implementation of several recommendations. GRECO’s compliance reporting (2025) finds that Portugal partially implemented a number of recommendations but still needs to address asset-declaration enforcement, lobbying transparency and post-employment rules.

A Fragile but Reformable Rule of Law in Portugal

Portugal has not faced a collapse of democracy and many institutions are still functioning. Yet, the rule of law in Portugal remains fragile in critical respects. Institutional inefficiencies, public distrust and repeated crises of political and financial malfeasance undermine social equity and hinder the country’s ability to reduce poverty.

The future of Portugal’s rule of law will depend on transparent and effective reforms, faithful protection of civil and property rights and the capacity to restore public trust through tangible improvements. If implemented well, such reforms could yield not only stronger governance, but also meaningful progress in reducing poverty and social inequality in Portugal.

– Vagner Trindade

Vagner is based in Portsmouth, UK and focuses on Business and Politics for The Borgen Project.

Photo: Wikimedia Commons