This archive report was first published on 28 October 2021.
Portugal's left-wing parties are on the brink of a major split, with the Socialist Party's António Costa facing opposition from the Left Bloc and the Communist Party.
According to recent reports, the fragile union between the left-wing parties, known as the 'geringonça', has been under strain for some time. The situation came to a head on Wednesday, when the State Budget was rejected in parliament.
Spanish newspaper ABC reported that issues such as the crisis at Novo Banco and TAP Air Portugal, which have received millions of euros in state aid, have widened the gap between the Left Bloc and the Communist Party.
ABC also mentioned that the hiring regime and precariousness, as well as the broad contributory career required of Portuguese citizens, have been major points of contention between the parties.
El Pais reported that the parliamentary session on Wednesday was marked by bitter accusations and recriminations between the left-wing parties.
El Pais quoted Ana Catarina Mendes, the Socialist parliamentary leader, as accusing the Left Bloc of falsehoods and lying about the State Budget negotiations.
On the other hand, Pedro Filipe Soares, the parliamentary head of the Left Bloc, accused the government of arrogance and allowing a political crisis to maintain labor measures adopted by the 'troika'.
El Pais also quoted Catarina Martins, the leader of the Left Bloc, as saying that the 'contraption' had died because of the obsession with an absolute majority.
El Mundo reported that the end of the left-wing pact was inevitable, given the deep-seated divisions between the parties.
According to El Mundo, the situation was reminiscent of the 16th century, when two great writers, Francisco Quevedo and Luís de Góngora, were unable to get along despite sharing many similarities.
News portal POLITICO reported that the six-year relationship between the left-wing parties had ended in an 'ugly' way on Wednesday.
According to POLITICO, António Costa hopes that voters will punish the 'extreme left' parties for triggering the crisis and give the Socialists the absolute majority they lost in 2019.
However, the same news portal reported that the PSD had achieved 'amazing victories' in local elections last month, winning several cities including Lisbon.
Deutsche Welle recalled that it was the first time a budget had been rejected in Portugal since the country's transition to democracy in 1974.
Reuters reported that analysts and polls indicated that an election alone would not solve the stalemate, which could be exacerbated by the possible emergence of the far-right party Arrives as the third-largest force in Parliament.
