Government authorizes 590 million for three KC-390s sold to Greece

The Council of Ministers has authorized the assumption of multi-annual charges amounting to 589,975,907.96 euros for the acquisition of three KC-390 aircraft, electronic warfare equipment, training, and logistical support within the scope of the KC-390 Program, as part of the sale of these aircraft to the Hellenic Republic. The decision is set out in the Council of Ministers Resolution No. 207/2026, approved on October 14, 2026, and published in the Diário da República, 1st series, No. 205, on October 22, 2026, signed by the Prime Minister, Luís Montenegro.

The resolution from the Presidency of the Council of Ministers authorizes the assumption of multi-annual charges and the execution of the corresponding expenditure, under Organic Law No. 1/2023 of August 17, Decree-Law No. 197/99 of June 8, Law No. 8/2012 of February 21, Decree-Law No. 127/2012 of June 21, and paragraph g) of Article 199 of the Constitution. The legal instrument takes effect from the date of its approval and delegates to the member of the Government responsible for the area of national defense, with the power of sub-delegation, the competence for subsequent acts.

The estimated global charge amounts to 589,975,907.96 euros, a value resulting from the sum of the two expenditure authorizations set out in the articles and detailed in the annex to the instrument.

Distribution between Defense and the Air Force

The expenditure is divided between two entities, with distinct amounts and objects:

• Central Services of the Ministry of National Defense, through the Directorate-General for Armament and Patrimony: up to 532,894,587.68 euros, plus VAT, for the acquisition of three KC-390 aircraft and a logistical support package for entry into service, from the consortium formed by Embraer, S. A. and Embraer Portugal, S. A.
• Air Force: up to 57,081,320.28 euros, plus VAT, for electronic warfare equipment (EW Suite), training, logistical support, the sustainment of technical support teams in Greece, Program management, and related activities, including investment in updating aircraft capabilities.

The articles further determine that the charges may not exceed, in each economic year, the amounts provided for in the annex to the resolution.

Financing through the sale to Greece and calendar until 2031

The budgetary charges are fully inscribed in the Military Programming Law and financed exclusively by revenues from the sale of the aircraft to the Hellenic Republic under the Government-to-Government contract. The annual distribution provided for in the annex is as follows:

• 2026: €88,296,879.22 (aircraft) and €199,508.76 (Air Force)
• 2027: €123,955,335.83 and €26,003,029.09
• 2028: €8,089,102.68 and €14,050,361.03
• 2029: €148,502,285.43 and €8,781,578.20
• 2030: €143,794,236.51 and €6,164,127.50
• 2031: €20,256,748.01 and €1,882,715.70

The resolution provides that the amounts fixed for each year shall be increased by the balance determined in the previous year, a mechanism that allows for the carry-over of unspent funds throughout the entire program.

From the Greek letter of intent to the training center at Air Base No. 11

The decree frames the operation within a cooperation initiated in 2010, when Portugal declared its interest in participating in the joint development and production program of the KC-390 multi-role transport aircraft. In 2019, contracts were signed for the acquisition of five aircraft and one flight simulator, under Council of Ministers Resolution No. 120/2019, of July 29; in 2025, by Council of Ministers Resolution No. 116/2025, of August 4, the option for a sixth aircraft was exercised and the option for up to 10 additional aircraft destined for European nations or NATO members, in Government-to-Government models, was established.

The path leading to the present authorization is described in the preamble:

• On June 16, 2025, a Letter of Intent was signed by the Hellenic Republic, with a view to a strategic partnership in military air transport capability.
• This was followed by a memorandum of understanding between Portugal and Greece to establish a framework for cooperation and consultations with a view to a Government-to-Government agreement.
• The Ministry of National Defense, through the Monitoring and Supervision Mission (MAF) of the KC-390 Program, received a formal request from the Hellenic Republic for the acquisition of three aircraft, associated goods, and services.

The Government emphasizes that the Air Force developed the NATO configuration of the aircraft, tested it at Air Base No. 11 (BA11), and obtained certification from the National Aeronautical Authority, consolidating BA11 as a KC-390 Center of Excellence for Training. The aircraft has since been acquired by ten other countries, five of which are NATO members.

The impact of the resolution is twofold: it sets the largest military expenditure of the year and transforms the sale to Greece into the financing instrument for the continuity of the KC-390 Program, keeping the expenditure outside of general State funding and ensuring, until 2031, revenue earmarked for the national aeronautical industry and the capacity building of the Air Force.

Source: Diário da República, 1st series, no. 205, of October 22, 2026, Presidency of the Council of Ministers, p. 1/3–3/3 (official reference: Council of Ministers Resolution No. 207/2026).