Acquiring a bank

Acquiring a bank is complicated transaction. It involves all the processes of acquisition including receiving financial regulatory approvals.

    Inhabitants - 10,760,305 (July 2011)

    Language - Portuguese (official), Mirandese (official, but locally used)

    Currency - EURO (EUR)

    Religion - Roman Catholic 84.5%, other Christian 2.2%, other 0.3%, unknown 9%, none 3.9%

    Politics - Politics in Portugal take place under the framework of a parliamentary, representative and democratic republic, wherein the Prime Minister is the head of government, and there is a multi-party system. The President of the Republic is the head of state and has several significant political powers, which he exercises often. Executive power is exercised by the Council of Ministers. Legislative power is vested in both the government and the Assembly of the Republic. Since 1975 the party system has been dominated by the social democratic Socialist Party and the liberal conservative Social Democratic Party. The judiciary is independent of the executive and the legislature.

  • Major industries - textiles, clothing, footwear, wood and cork, paper, chemicals, auto-parts manufacturing, base metals, dairyproducts, wine and other foods, porcelain and ceramics, glasswaretechnology,  telecommunications, ship construction and refurbishment, tourism

    Banks (2010) - 37 banks; 6,240 branches; 58,871 employees; assets – EUR 506,19 billion; loans – EUR 288,67 billion; deposits –EUR 194.94 billion. 

    Banking regulations – Banking activities in Portugal are governed by the RGICSF, which regulates the taking up and pursuit of the banking business, with banking corresponding to one of the several types of credit institutions and financial entities provided for in the law and via the regulatory framework issued by the Bank of Portugal, namely, through notices, instructions and orientations. The current financial supervision system in force in Portugal is based on the coexistence of three supervisors, with responsibility for the three sectors of banking, capital markets, and insurance and pension funds; this corresponds to an organisational model in which the BoP acts as a central bank as well as the entity responsible for the supervision of banks and financial companies, focusing on the stability of the financial system,

  • while the Portuguese Securities Market Commission (‘the CMVM’) has the responsibility for supervising the securities market and derivative instruments as well as the activities of agents and financial intermediaries. Finally, the Portuguese Insurance Institute (‘the ISP’) is responsible for the supervision of insurance and pension funds.

    The initial capital of banks set up originally or as a result of alterations to the purpose of a given company, or of a merger of two or more banks, or of a spin-off, shall be no less than €17.5 million. Likewise, the own funds of banks are at all times required to be not less than the minimum capital.