Portugal's government plans to establish a new sovereign wealth fund, but the initiative faces potential legal hurdles from the European Union regarding the inclusion of 'golden shares' and preferential acquisition rights.
An former administrator from the Autoridade da Concorrência (AdC), Portugal's competition authority, warned that while the fund's structure may align with broader EU legislation, it must exclude special rights such as vetoes to avoid regulatory conflict.
The concern centers on whether state-backed investment vehicles can retain control mechanisms that distort market competition or favor domestic entities over foreign investors.
The debate highlights the tension between national strategic investment goals and EU single-market principles.
Sovereign wealth funds are increasingly used by member states to capture value from privatizations and strategic assets, but Brussels has historically scrutinized structures that grant the state disproportionate influence.
If Lisbon proceeds with veto powers, the European Commission could launch an infringement procedure, potentially delaying the fund's launch or forcing a structural redesign.