Spain and Portugal make progress on concrete measures to speed up the integration of the Iberian market

The First Vice-President of the Government of Spain and Minister for Economy, Trade and Business, Carlos Cuerpo, and Portugal's Minister for the Economy and Territorial Cohesion, Manuel Castro Almeida, met in Lisbon to take forward the plan to integrate the two Iberian economies.

The meeting took place within the framework of the Joint Declaration signed by both ministers on 6 March 2026, which established the Portuguese-Spanish Strategic Forum for Competitiveness. Since then, the joint monitoring team has been working on a practical roadmap setting out initiatives aimed at removing barriers, increasing investment and deepening integration, the results of which are already evident on several fronts.

During the meeting, a memorandum of understanding was signed between Spain's Instituto de Crédito Oficial (ICO) and Portugal's Banco Português de Fomento (BPF) to promote collaboration between the two development banks. One of the agreement's objectives is the joint promotion of the social housing and affordable rental sectors, including the exchange of best practice and financial products. It also provides for the harmonisation of credit rating models to expand financing opportunities, support for business internationalisation through the development of financial instruments, and the development of guarantee schemes for SMEs.

Furthermore, as part of the Forum, measures have been put in place to facilitate the opening of cross-border bank accounts. Both countries have agreed to work with the financial sector on a self-regulation protocol to harmonise documentation requirements and simplify the process of opening bank accounts. The protocol will reduce administrative barriers for companies operating across borders.

Furthermore, during the meeting, the parties discussed the progress made and the next steps planned regarding the implementation of a common electronic invoicing system between companies, and the mutual recognition of professional qualifications, which establishes the legal basis for greater labour mobility between the two countries.

Vice-President Carlos Cuerpo stated that "the Forum is taking concrete and practical steps to facilitate the operations of our companies and the mobility of our workers, and to move towards a truly integrated Iberian market". "This model of cooperation is exactly what Europe needs to accelerate the integration of the single market in the face of the new landscape of global trade".

Minister Manuel Castro Almeida emphasised that "the ties between Portugal and Spain are already very strong, but we are determined to strengthen them further and remove the remaining obstacles so that both countries, working together, can promote economic growth for the benefit of their businesses, their citizens and the European Union".

The Vice-president also met with Portugal's Minister of State and Finance, Joaquim Miranda Sarmento, to exchange views on European projects where progress is a priority in the coming months, such as the European budgets and the international role of the euro.

In short, Spain and Portugal are capitalising on the strength of a bilateral relationship underpinned by deep-rooted ties in trade, investment and energy to serve as a benchmark for the European Union, making progress in specific areas. The roadmap agreed upon, which sets out practical solutions, envisages that these will be scalable, so that bilateral integration can serve as a model for deepening the European single market.

The Forum's next ministerial meeting will take place in Spain before the end of 2026.

Non official translation