Portugal - Political background

The Portuguese Republic was proclaimed in 1910, following the bloodless revolution which deposed King Manuel II and ended one of the oldest European monarchies. The establishment of the Republic initiated a period of governmental instability and political violence. A military coup in 1926 paved the way for a former economics professor, Antonio de Oliveira Salazar, to become finance minister (1928) and then prime minister (1932). Influenced by Italian fascism, Salazar consolidated governmental authority and established a right-wing dictatorial regime, known as the Estado Novo (New State). Under Salazar, political opposition was outlawed and at times brutally repressed by his secret police. With the support of the Church, the military, and his National Union Party, Salazar remained in power until illness forced him to resign in 1968. The political legacy of Salazar continued until 1974 when a bloodless coup led by left-wing military officers toppled the regime. A new Constitution establishing a parliamentary democracy was promulgated in 1976.

The 1976 Constitution establishes the president as head of state. The president is elected by universal suffrage for a five-year term through an electoral system that ensures majority support; the top two candidates go to a second round of elections if no candidate receives a majority of first-round votes. The latest presidential election of January 1996 resulted in the victory of Jorge Sampaio, the former leader of the Socialist Party. Political power in Portugal, however, rests with the prime minister, who is the head of government. Members of the Assembly of the Republic, the unicameral 230-member legislative body, are elected to four-year terms through a system of proportional representation. The leader of the party with the most seats in the Assembly is officially appointed by the president to form a government. Reforms to the 1976 Constitution were implemented in 1982, establishing strict civilian control of the military, a reduction of the powers of the president, and the creation of an independent 13-member Constitutional Tribunal responsible for adjudicating the constitutionality of legislation. The 1989 constitutional reform allowed the privatization of previously nationalized industries. The two main political parties in Portugal are the center-right Social Democratic Party (Partido Social Democrático—PSD) and the center-left Portuguese Socialist Party (Partido Socialista Português—PS). Other significant parties include the right-wing Social Democratic Center Party/Popular Party (Centro Democrático Social/Partido Popular—CDS/PP), the left-wing Portuguese Communist Party (Partido Comunista Português—PCP), and The Greens.

The legislative elections of 1 October 1995 marked a dramatic shift in the two major parties. The Socialists returned to power after a decade in opposition. Social Democrats, who had governed with a majority of seats, were hampered by financial scandals, declining economic growth, and the loss of their popular leader Anibal Cavaco Silva, who stepped down to run for the presidency. It was thought that many voters wanted a "breath of fresh air" after a decade of continuous center-right rule. The socialist government presided over an economic recovery, improved labor market, and Portugal's entry into the euro zone. The Socialist Party stayed in power after the 10 October 1999 election. In voting on 17 March 2002, however, the Social Democrats won back control of the government, but just barely. They controlled 105 of the 230 seats in the legislature, compared to the Socialist Party's 96 seats.