Decree-Law 17/2024, published on 29^th January, establishes the rules for implementing the 2024 State Budget (OE2024). 

This Decree-Law of Budget Execution (DLEO) implements the principles and guidelines defined in the OE2024, maintaining the instruments and mechanisms deemed necessary to monitor expenditure control, as well as introducing various measures to simplify and make administrative procedures more flexible.

In line with the OE2024, the law transfers decision-making power over budget execution to the sectoral ministers. Therefore, the power to authorise the use of conditional budget appropriations is transferred from the Minister of Finance to the sectoral ministers, allowing them to release, at any time, the funds allocated to the entities under their supervision and whose use is conditional.

Additionally, sector ministers now have the autonomy to enter into contracts for the purchase of goods and services without the need for authorisation from the Ministry of Finance (previously required whenever the value of these purchases exceeded the amount spent in the previous year).

The DLEO also establishes the blocking of the amounts which, in relation to the accumulated budget outturn as at December 2023:

• Exceed by 4% the overall value of each of the groupings relating to personnel expenditure, excluding variable and eventual allowances, other current expenditure and transfers outside public administration
• Correspond to an increase in the overall value of personnel expenditure on variable or eventual allowances, excluding those relating to severance pay.

However, the following are excluded:

• Expenditure by the Deployed National Forces and higher education institutions
• Expenditure on external and compulsory ties, expenditure on projects and activities co-financed by European and international non-repayable funds as part of non-repayable grants and expenditure associated with the payment of taxes and fees
• Transfers associated with pensions and other allowances paid by “Caixa Geral de Aposentações”
• Expenditure under the Military Programme Law.

Furthermore, various rules are defined regarding the provision of information by the institutions, namely the obligation to provide information on available funds, commitments, accounts payable and arrears on a monthly basis. 

Decree-Law 17/2024 came into force on 30^th January.