The European Commission has approved the mid-term reprogramming of the Algarve 2030 Regional Programme, enabling the region to meet the implementation target set by the N+3 rule last year without any reduction in funding.

The target, set at around €106 million, was exceeded, with an implementation rate of 107% in 2025.

This approval raises new strategic priorities for the Algarve, namely competitiveness and decarbonisation, defence, housing accessibility and water resource adaptability.

As for the regional programme, the financial resources allocated to sustainable water management, technology development, the defence industry, natural disaster response, and the promotion of affordable housing have been reinforced.

It is estimated that around €114 million in Cohesion Policy funds will be allocated to the new priorities mentioned above, representing approximately 14% of the total financial resources for Algarve 2030.

€60 million has been allocated to housing, and €34 million to business competitiveness and economic diversification. The digital, biotechnology and cleantech sectors will receive €18 million, and the defence industry €16 million.

A further €20 million has been allocated to supplement the region’s water resilience.