Open

Coming up

Don't miss

Replay


LATEST SHOWS

FOCUS

Spain's El Hierro to become world's first self-powered island

Read more

IN THE PAPERS

A bellwether for what not to do

Read more

ENCORE!

Luc Besson back in action with Scarlett Johansson in 'Lucy'

Read more

FOCUS

Israel's minorities and military service

Read more

MIDDLE EAST MATTERS

Iraq: Kurdish forces fight to protect Yazidis

Read more

DEBATE

Libya unrest: National Assembly asks for UN help to dissolve militias

Read more

DEBATE

Pakistan's Political Turmoil: Can Imran Khan's PTI Party Depose the Government? (part 2)

Read more

DEBATE

Pakistan's Political Turmoil: Can Imran Khan's PTI Party Depose the Government?

Read more

MEDIAWATCH

#IceBucketChallenge and hashtag activism

Read more

  • France’s Hollande says global security ‘worst since 2001’

    Read more

  • Ex-PM Juppé announces bid for 2017 French presidential race

    Read more

  • Brutal IS beheading video sparks social media pushback

    Read more

  • A new view on Normandy landings, 70 years on

    Read more

  • Video: Dozens arrested despite smaller protests in Ferguson

    Read more

  • Dozens killed as landslides strike Japan’s Hiroshima

    Read more

  • Deadly airstrikes hit Gaza as ceasefire with Israel collapses

    Read more

  • Tentative peace in Ferguson despite second fatal shooting

    Read more

  • Suspected Ebola cases in Austria, new drug raises hopes

    Read more

  • WWII anniversary highlights best - and worst - of Paris police

    Read more

  • Headscarf at the beach sparks French MEP’s fury

    Read more

  • Video: Life in under-siege Donetsk

    Read more

  • Racism, riots and police violence: USA under scrutiny

    Read more

  • ‘Let it be’: Londoners sick of Abbey Road tourists

    Read more

Europe

Portugal and Spain commit to accelerating deficit cuts

Video by Josh Vardey

Text by News Wires

Latest update : 2010-05-10

Portugal and Spain committed Monday to increasing deficit reduction measures aimed at stemming the debt crisis, EU leaders have reported. The statement came shortly after agreement was reached on a 750 billion euro bailout plan.

AFP - The Portuguese government said Monday it wanted to make a deeper than planned dent in its public deficit next year, reducing the shortfall to 5.1 percent of output rather than 6.6 percent.
  
"In 2011 we are going to continue our efforts to reduce the deficit by 1.5 points more than what had been planned," Finance Minister Fernando Teixeira dos Santos told Portuguese journalists in Brussels where he was attending a eurozone finance ministers' meeting.
  
Prime Minister Jose Socrates on Friday said the public deficit target for this year had been lowered to 7.3 percent of gross domestic product from 8.3 percent.
  
To reach that goal, the government has decided to postpone certain investment projects, such as a new airport in Lisbon or a third bridge across the Tagus River.
  
The deficit last year rose to 9.4 percent, prompting fears in the eurozone that Portugal -- like Greece -- could have trouble raising money on the bond market.
  
The country's public debt burden came to 76.6 percent of output in 2009 and is expected to hit 86 percent in 2010.
  
The government has not ruled out a tax hike in order to meet its fiscal targets.
  
Despite its deficit and debt, analysts contend that Portugal will remain solvent.
 

Date created : 2010-05-10

COMMENT(S)