• New European Investment Bank credit line will support the construction and renovation of 12,000 rent-controlled homes

• First instalment of 450 million euros of the total financing was signed today

• The programme is for middle-class households

Municipalities must complete their housing solutions by 2030

The Government and the European Investment Bank (EIB) approved a credit line of 1.34 billion Euros to assist with affordable public housing in Portugal, which entails the construction and renovation of 12,000 affordable rent homes.

The first instalment of the loan to the sum of 450 million euros was signed today at the Portuguese Prime Minister Luís Montenegro’s Official Residence in the presence of the Minister of Infrastructure and Housing Miguel Pinto Luz and the Minister of State and Finance Joaquim Miranda Sarmento.

The homes to be financed fall under the affordable rent scheme, a national public programme designed to encourage the promotion and availability of homes for rentals for the middle class with the aim of setting up a long-term housing stock with controlled rents. 

This financing together with the State Budget will enable 12,000 homes to be made available under the controlled rent scheme.

The credit line agreed on between the Portuguese Government and the EIB will enable municipalities to complete their housing solutions in a longer timeframe (by 2030) compared to the target set under the RRF of June 2026. The conditions are deemed to be more favourable, with lower interest rates and more generous grace periods.

"Offering responses to the housing challenges is a top priority for the Government. With this 1.34-billion-euro financing we have another tool operating for public housing in Portugal. This is more than 12,000 affordable rent homes, with controlled rents, that we want to offer to the households in our country as soon as possible", said the Minister of Infrastructure and Housing Miguel Pinto Luz. 

"Today, we took a decisive step in building and renovating public housing in Portugal. I wish to praise the outstanding role the EIB has played in Portugal’s development over these last 40 years, financing and supporting hundreds of public and private projects, as the one we see here today", the Minister of State and Finance Joaquim Miranda Sarmento remarked.

To this endeavour we add the work undertaken under the Programme to Assist with Access to Housing – 1º Direito to complete housing solutions established in the Local Housing Strategies, which has an exception regime until 2030, mostly funded through the State Budget, whereas a credit line with the EIB dedicated to its execution is also being addressed.