Machico is a historic city that is the second most populous on the island. Located in the eastern part, Machico was the first capital of Madeira between 1440 and 1496 under the captaincy of Tristão Vaz Teixeira. It was here that the first settlers moored in 1420 and Funchal only became the capital in 1508. The colonization issue was resolved by dividing the island into two parts: the south and west were given to Captain João Gonçalves Zarco and the north and east were given to Captain Tristão Vaz Teixeira who ordered the construction of the first buildings and the first crops on the island. Associated with the colonizers were the Franciscan friars who were responsible for building chapels. The oldest place of religious worship is the Capela dos Milagres and the Forts of São João Baptista and Nossa Senhora do Amparo also date from this period.

The modern face of Machico is a guarded pebble and sand beach equipped with showers and toilets. And for those who enjoy diving, there is a marine reserve on this coast that makes this city very popular with divers.

To enjoy incredible views, take a trip to Pico do Facho, which is a popular viewpoint and historically important site, as torches were lit here to warn the population of approaching pirates.