Montenegro unveils sovereign wealth fund, railway privatization and justice reforms at PSD congress
Prime Minister Luís Montenegro closed the PSD congress with a package of measures including a new sovereign wealth fund to take equity stakes in strategic sectors, a pilot privatization of the Cascais railway line and an acceleration of administrative and tax courts.
Sovereign wealth fund and catastrophe cover
Montenegro announced the creation of a Fundo Soberano de Portugal, to be housed at the IGCP. The fund will allow the state to hold relevant equity stakes in companies that are strategic for the country’s development and resilience, with energy, banking, communications and airport infrastructure management all under consideration.
The intention is to have relevant equity stakes in strategic companies for the country’s development and resilience. We are talking about stakes in areas such as energy, but we do not exclude banking, communications or even airport infrastructure management, if the concessionaires do not fulfil their obligations.
A separate catastrophe fund, already promised, will be split into two sub-funds: one for seismic risk and one for extreme weather events. It is designed to support citizens, businesses and municipalities with the financial impact of natural disasters.
Railway liberalisation and rental rules
The Caminhos de Ferro Portugueses (CP) will keep its central role, but the Cascais commuter line is set to become the pilot for a sub-concession model. Montenegro said the line will be ready for private operation once current state-funded modernisation works are finished in 2028. The government also intends to change the legal regime for residential rentals, a move aimed at boosting supply.
Justice, public service and the Amália AI
A reform of administrative and tax justice is intended to cut the time it takes to resolve disputes between citizens, companies and the state; Montenegro argued that the present slowness damages legal certainty and deters investment. For the public sector, a new performance incentive regime will focus on merit, results and attracting young workers. The speech also confirmed that the Amália artificial intelligence model, first announced in 2024, is now ready to launch. It will support teachers, scientific research, virtual cultural heritage visits and, an element yet to be detailed, the armed forces. The prime minister wrapped up with a nod to the 900th anniversary of Portugal, to be celebrated in Guimarães, repeating that
.the best is yet to come for Portugal
