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Algarve Câmaras under financial distress

Portimão Câmara, which is facing debts of €104 million, is considering seeking four bank loans worth a total of €94.5 million as part of a financial recovery plan.

Portimão Mayor Manuel da Luz said: “If all goes well, we hope to see the recovery plan approved by April.”

The Câmara also expects to raise €52 million from the sale of real estate.

The plan calls for a drastic cut in operating costs through the reduction in the number of employees at Portimão Câmara and an increase in taxes.

Meanwhile, Faro Câmara is also facing serious financial difficulties and is also developing a financial recovery plan that is expected to be approved by the Government also in April.

It hopes to secure a bank loan to the tune of €48 million, of which some €28 million will be used to pay 8,000 outstanding bills.