Afternoon Update -- Monday, 23 February 2026

The day's developments across Portugal, condensed.

US Ambassador Pushes F-35 Purchase. Washington's envoy John Arrigo publicly urged Portugal to replace its ageing F-16 fleet with Lockheed Martin's F-35 stealth fighters, framing it as essential for NATO interoperability. He also suggested Portugal should exit China's Belt and Road Initiative, as Italy did in 2023. Defence Minister Nuno Melo has said the formal fighter selection process has not yet begun.

Pordata: Portugal Has EU's Second-Highest Housing Price Rise. A new interactive platform launched today by Pordata reveals that Portuguese housing prices have surged 24.1% since 2020 -- second only to Greece (29%) across all 27 EU member states. Meanwhile, Portuguese purchasing power ranks sixth-lowest in the bloc.

Real Estate Growth Expected to Slow to 7%. After two consecutive years of double-digit price increases, analysts project Portuguese house prices will rise around 7% in 2026. Supply constraints, labour shortages, and stabilised interest rates are tempering the market, though Portugal remains among Europe's fastest-growing property markets.

Festival da Cancao Semi-Final Selects Five Finalists. Saturday's first semi-final of Festival da Cancao 2026 advanced five acts to the 7 March final: Andre Amaro, Dinis Mota, Nunca Mates o Mandarim, EVAYA, and Marquise. The second semi-final airs this Saturday, 28 February.

Storm Damage Clean-Up Continues. Authorities are still dealing with the aftermath of last week's severe weather, which felled thousands of trees and blocked roads across central Portugal. The Tondela-Canas de Santa Maria stretch of road in Viseu district faces six months of lane restrictions starting 24 February for widening and repair works.

Seguro's Post-Election Mandate Takes Shape. Analysis published over the weekend shows that president-elect Antonio Jose Seguro drew support well beyond his traditional base in the second-round runoff, winning voters who backed centre-right candidates Cotrim and Mendes in the first round by wide margins. Ventura claimed the result as proof of his consolidation of the right, but the data suggests otherwise.

Mortgage Lending Expected to Stay Strong. Despite soaring prices and declining affordability, Portugal's major banks anticipate that home loan activity will remain robust throughout 2026, supported by stable interest rates. The disconnect between lending confidence and household purchasing power continues to define the market.