President calls for sustained investment in Portugal's interior after Penamacor creche inauguration
Portugal's President António José Seguro has called for sustained public investment in the country's interior, arguing that funds deployed in low-density territories yield greater returns than equivalent spending along the coast. Speaking during a visit to Penamacor, a municipality in the Beira Baixa region near the Spanish border, Seguro said that €1 million invested in Penamacor delivers more value than the same amount spent in coastal areas.
The President was in Penamacor on Saturday to inaugurate an expanded nursery operated by Santa Casa da Misericórdia de Penamacor, the local charitable institution. The project, which increased capacity from 25 to 50 children, cost more than €1 million and received funding from Portugal's Recovery and Resilience Plan (PRR), with the municipal government contributing over €300,000.
A personal return
Seguro, who was born in Penamacor in the 1960s, delivered an emotional address, recalling childhood memories of streets filled with children at play. "Today there is a nursery, but there are no children," he said, lamenting the demographic decline that has hollowed out many interior communities. The municipality now has five people aged over 65 for every person under 15, and approximately 350 children have been born there in recent years.
The President stressed that opening a nursery in the interior is not merely an administrative act but a signal of hope — evidence that such territories can sustain this type of investment. He called for the basic conditions people now demand: employment, housing, healthcare, schools, transport and digital connectivity.
Continuity across political cycles
Both José Miguel Oliveira, the current mayor of Penamacor, and João Cunha, the provedor — or leader — of the local Santa Casa da Misericórdia, emphasised the importance of public investment in low-density territories. Oliveira noted that municipal support was approved under the previous mayor, António Luís Beites, and continued under his administration.
Seguro praised this cross-mandate continuity and said Portugal needs to extend such cooperation nationally. "It would be good if this culture extended to the national panorama," he said, advocating for the continuity of projects and policies aimed at improving people's lives.
A divided geography
The President's remarks highlight a persistent challenge for Portugal. Penamacor, with fewer than 8 inhabitants per square kilometre, is one of the country's eight least densely populated municipalities. By contrast, coastal cities such as Porto and Lisbon have densities exceeding 6,500 people per square kilometre, over 800 times greater.
This disparity shapes access to public services. Coastal areas benefit from more hospitals, specialist clinics and transport networks, while the interior faces shortages of family doctors, limited public transport and longer travel times for essential care.
Public support systems
Seguro said social responses built in proximity with communities reach further but added that protection should not become a burden. "It is unbelievable that access to a nursery depends on a postal code," he stated.
He argued the social sector should not replace the state but should instead form part of a network that reaches where the state has not yet arrived. His comments reflect ongoing debates about how best to deliver services in territories where low population density makes conventional provision costly and difficult.
Policy framework
Portugal has developed several mechanisms to support interior territories. The Emprego Interior MAIS programme offers €3,759.91 for open-ended contracts or business creation in qualifying areas, with a 20% bonus for each additional family member. Tax incentives including reduced IMI — the municipal property tax — and exemptions on property transfer tax are available for projects in low-density zones.
The PRR, the European Union-funded recovery programme, continues to channel investment to interior projects. The Council of Ministers approved rules on 1 October for using remaining PRR funds to complete approved projects, with the state able to guarantee up to €200 million from the national budget if PRR financing proves insufficient.
