The far-right party Chega also succeeded in the elections by tripling its seat in parliament.
Portuguese leader of the center-right opposition party Luis Montenegro has said his party has won the country's snap parliamentary elections on Sunday.
The AD party, or Democratic Alliance, led by Montenegro promised in its election campaign to boost Portugal's economic growth by lowering taxes, improving unreliable public health care and education.
At the same time, the leader of the Socialist Party Pedro Nuno Santos has admitted the defeat of his party.
The far-right party Chega also succeeded in the elections by tripling its seat in parliament.
The elections were organized ahead of schedule in November, when the Socialist Prime Minister resigned António Costa for departure. Costa's departure was linked to a corruption scandal involving his chief of staff. Although Costa himself is not suspected of anything, he was not a candidate in the election.
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