Public Finance Council calls for accounting reform in Portugal

Nazaré da Costa Cabral, president of the Public Finance Council (CFP), has called for the completion of public accounting reforms following warnings from the Court of Auditors (TdC). The TdC identified limitations in the 2025 State General Account, specifically noting the absence of consolidated budgetary and financial statements for Central Administration and Social Security.

During a hearing at the Assembly of the Republic, Cabral emphasized that establishing a consolidating accounting entity is a necessary condition to overcome current limitations. She described the reform of budgetary, financial, and management accounting as a critical, though difficult, ongoing process. Regarding 526 million euros in unjustified funds identified by the TdC, Cabral noted that the CFP lacks the auditing mandate and access to information required to explain the discrepancy.