Democratic Alliance Wins Amid Political Turmoil in Portugal

In a critical electoral showdown, Portugal's centre-right Democratic Alliance (AD) emerged victorious yet fell short of the parliamentary majority needed to resolve ongoing political turbulence. The election, marked by political intricacies, saw the centre-left Socialists and far-right Chega nearly tied for second place.

After failing to garner a vote of confidence in March, Prime Minister Luis Montenegro's AD gained nine seats to secure 89 in the 230-seat parliament. However, the possibility of piecemeal parliamentary support looms as Montenegro rules out alliances with Chega, a party known for its anti-immigration stance.

Elections have shaken Portugal's political foundations, challenging traditional bipartisanship and raising concerns over future instability that could affect vital projects, including lithium mining and the privatisation of TAP airline. With votes from abroad pending, the political landscape remains uncertain.

(With inputs from agencies.)