Quotes: MENA   Enter Symbol: NewsLetter: Search: advanced

Portugal leaders seek to end one-week crisis  Join our daily free Newsletter

MENAFN - AFP - 09/07/2013
No. of Ratings : 0
Add to Mixx!



(MENAFN - AFP) Portugal's leaders sought Tuesday to cap a one-week political crisis that pushed the government to the brink of collapse and raised fears for its 78-billion-euro (100-billion) international bailout.

Prime Minister Pedro Passos Coelho appeared to have assured the survival of the coalition led by his Social Democratic Party, albeit at the price of promoting his foreign minister to the position of deputy prime minister.

The political deal, reached Saturday, now needs just the widely anticipated seal of approval of Portuguese President Anibal Cavaco Silva who was holding consultations with various party representatives.

The coalition had seemed to be on the verge of a break-up last week after Paulo Portas said he was resigning as foreign minister, one day after the shock departure of then finance minister Vitor Gaspar.

Portas is pivotal to the government's survival because he is also leader of the ruling coalition's junior partner, the conservative CDS-PP.

Instead of leaving the coalition, however, after days of negotiations Portas was promoted Saturday to the post of deputy prime minister in charge of coordinating economic reforms required under the May 2011 bailout programme.

"We believe that we have the conditions for stability ... which is important for the conclusion of the economic and financial stability programme that Portugal has negotiated with its creditors," Portas said Tuesday after a meeting with Silva.

"We believe the priority now is to open a cycle that, without forgetting the country's financial obligations, puts the focus on ... the economy, business, job creation and social cooperation," said Portas, who favours easing the grip of austerity.

The political crisis raged just ahead of a July 15 visit byrepresentatives of Portugal's troika of creditors -- the European Commission, European Central Bank and IMF -- to assess the state of Portugal's accounts.

Portas had handed in his resignation on July 2 in disagreement with the premier's' choice of new finance minister, Maria Luis Albuquerque, who was expected to pursue austerity policies in the teeth of growing public protest.

Albuquerque said, however, that she would work with the new deputy prime minister.

"Working side by side in the same direction strengthens our positions rather than weakening them," said Albuquerque.

Albuquerque's appointment last week was welcomed by ECB president Mario Draghi, who said the country was "in good hands". EU Economic Affairs Commissioner Olli Rehn said he had no doubts over her abilities.

Portugal's president must give his approval to the reshuffled coalition, which has been in power since June 2011.

Following his meeting with Portas, the president held talks with the opposition Socialist Party chief Antonio Jose Seguro, who has pressed for snap elections. The president will then meet with the prime minister.

The head of state is to meet with workers' representatives on Wednesday before making an announcement, possibly in an address to the nation.

Most analysts say there is little doubt the president will approve the reshuffle.

But Portugal still faces formidable challenges: an expected economic contraction of 2.3 percent this year and a record unemployment rate of more than 18 percent.

Some financial analysts foresee a new bailout for the country, renewing concerns about the indebted economies of the eurozone's periphery.


 


AFP




  MENA News Headlines
 Sep 25 2016 - An output freeze deal in Algeria means $60 oil!Khaleej Times
(MENAFN - Khaleej Times) The oil market has been a rollercoaster in 2016. A global financial panic triggered by China's yuan depreciation caused Brent crude to fall below $30 a barrel in late ...

 Sep 25 2016 - Output freeze eludes Russia, Saudi Arabia talksKhaleej Times
(MENAFN - Khaleej Times) The world's two biggest oil producers Saudi Arabia and Russia said on Monday they had agreed to "act together" to try to stabilise oil prices, but failed to make headway on ...

 Sep 25 2016 - Value, risk in large cap biotech sharesKhaleej Times
(MENAFN - Khaleej Times) Merger mania has led to fairy tale outcomes on some biotech shares on Wall Street. For instance, oncology biotech Medivation (MDVN) tripled in value in 2016 once Pfizer won ...

 Sep 25 2016 - US equities and a spasm of risk aversionKhaleej Times
(MENAFN - Khaleej Times) I had written a column two weeks ago outlining my view that US equities faced a dangerous autumn and the S & P 500 index was set for a fall of 150 points. However, even I ...

 Sep 25 2016 - Value investing themes in Asian equity marketsKhaleej Times
(MENAFN - Khaleej Times) When Ben Bernanke uttered the word "taper" in May 2013, he triggered a bloodbath in emerging markets and a free fall in "fragile five" currencies that included the Indian ...

 Sep 25 2016 - Wells Fargo mired in one of the most sordid scandalsKhaleej Times
(MENAFN - Khaleej Times) Wells Fargo was, until last week, America's most valued money centre bank, the crown jewel of Warren Buffet's investment portfolio, a model of corporate excellence whose ...

 Sep 25 2016 - Fear, risk and value in emerging market currenciesKhaleej Times
(MENAFN - Khaleej Times) The $5 trillion global foreign exchange market is hyper-sensitive to shifts in the ultra-easy money policies of the G-7 central banks. So it is no coincidence that the ...

 Sep 25 2016 - UAE equities to perform better in next 12 monthsKhaleej Times
(MENAFN - Khaleej Times) A bullish real estate outlook, an impending tourism boom driven by new branded theme parks and a widely anticipated pick-up in business activity are critical triggers for ...

 Sep 25 2016 - Mohammed bin Zayed reassured regarding Haj pilgrims from UAEKhaleej Times
(MENAFN - Khaleej Times) His Highness Shaikh Mohammed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces, in a telephone call to Dr. Mohammed Matar ...

 Sep 25 2016 - UAE voices concerns on 'Justice Against Sponsors of Terrorism Act'Khaleej Times
(MENAFN - Khaleej Times) Shaikh Abdullah bin Zayed Al Nahyan, Minister of Foreign Affairs and International Cooperation,has expressed the UAE's concern about the US Congress adopting the law ...

more...


 





Google

 
 

Middle East North Africa - Financial Network

MENAFN News Market Data Countries Tools Section  
 

Middle East North Africa - Financial Network
Arabic MENAFN

Main News
News By Industry
News By Country

Islamic Finance News
Private Equity News

How-To Guides
Technology Section

Travel Section

Search News

Market Indices
Quotes & Charts

Global Indices
Arab Indices

Commodoties

Oil & Energy

Currencies Cross Rates
Currencies Updates
Currency Converter

USA Stocks
Arab Stocks
 

Algeria 
Bahrain 
Egypt 
Iraq
Jordan 
Kuwait 
Lebanon
Morocco 
Oman 
Palestine
Qatar 
Saudi Arabia 
Syria
Tunisia 
UAE 
Yemen

Weather
Economic Calendar
Financial Glossary


Financial Calculators

RSS Feeds [XML]

Corporate Monitor

Events

Real Estate
Submit Your Property

Arab Research
Buy a Research

Press Releases
Submit your PR

Join Newsletters


 
© 2014 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help