Tag: Portugal

Portugal's Constitutional Court on Thursday dealt a new blow to government efforts to cut spending and keep the country's EU/IMF bailout on track, rejecting a bill that would have effectively allowed the state to fire public sector workers.

Portuguese President Anibal Cavaco Silva threw the bailed-out eurozone country into disarray yesterday (July 11) after rejecting a plan to heal a government rift, igniting what critics called a "time bomb" by calling for early elections next year.

If the conclusions from the last EU summit refer to the “social challenge” of unemployment, the European Commission can now be considered the more realistic of EU institutions in referring to a “social crisis,” writes Klaus Heeger.

The European Commission has urged Lisbon to stay the course on reducing its budget deficit after the country’s Constitutional Court on Friday (5 April) rejected key parts of the government’s 2013 austerity budget, including cuts to holiday bonuses for pensioners and public servants and reductions in sickness leave and unemployment benefits.

Portuguese President Aníbal Cavaco Silva said in his new year speech that he will send his country’s controversial 2013 budget to the Constitutional Court. The move could put at risk a €78 billion bailout deal from the eurozone and IMF.

The failure to agree on the next EU budget at today's extraordinary summit leaves Germany with powerful negotiating leverage over the UK for the crucial summit on banking union scheduled in December, EurActiv has learned.

The eurozone could be turning its back on the all-austerity answer to the sovereign debt crisis as finance ministers consider giving Greece more time to meet its budget deficit objectives, after Portugal won similar concessions last week.

Spanish Prime Minister Mariano Rajoy could learn some lessons about communication from neighbouring Portugal as he struggles to restore confidence in Madrid's public finances and avoid an international bailout.

Portugal is making progress with reforms aimed at bringing its finances back to health and should be able to return to markets in 2013 as planned, the European Commission said yesterday (3 April).

Portugal's centre-right Social Democrats (PSD) recorded a convincing win over the Socialists in a general election yesterday (5 June), punishing the outgoing government for a 78-billion-euro bailout that will bring deep austerity. European Commission President José Manuel Barroso said these were the country's "most important elections" since 1974.

Pressure on financially weak eurozone members rose sharply yesterday (18 April) amid growing speculation that Greece will restructure its debt and after a Finnish vote showed mounting public opposition to more bailouts.

Eurozone finance ministers will discuss Portugal's bailout plea on Friday (8 April) and are likely to approve sending an EU-IMF mission to Lisbon on Monday to start negotiating the terms of the deal, sources said.

Portugal's President Aníbal Cavaco Silva dissolved parliament yesterday (31 March) and set a snap general election for 5 June, warning that the next government faced an "unprecedented economic crisis".

Portugal's main opposition Social Democrats (PSD) again refused today (21 March) to back new government austerity measures, raising the risk that the minority administration of Prime Minister José Sócrates could fall after a vote just before a key EU summit to be held at the end of the week.

Germany has said it will help finance a Portuguese bailout as consensus builds that Portugal will be the third eurozone country to seek a loan from the European Union and the International Monetary Fund.

The European Central Bank threw Portugal a temporary lifeline yesterday (10 January) by buying up its bonds, as market and peer pressure mounted on Lisbon to seek an international bailout soon. But analysts said that in the euro zone's simmering debt crisis, the Battle of Spain would likely prove decisive in 2011.

Europe's fundamental problems would be easier to manage with calmer financial markets, writes Daniel Gros, director of the Centre for European Policy Studies.

José Luís Lopes da Mota, president of Eurojust, communicated yesterday (17 December) his resignation amid growing accusations concerning his involvement in the controversial 'Freeport' case in Portugal.

Europe faces a slew of national elections in the coming weeks and the new coalitions will have an impact on tackling the economic crisis and making the crucial adjustments for reform.

Although discrimination in general has decreased on the European continent in the past years, discrimination based on ethnic origin it is still perceived as widespread, with Roma in particular facing high levels of prejudice, according to a new Eurobarometer.

The Portuguese Parliament has overwhelmingly voted in favour of ratifying the EU's new Reform Treaty – named after the country's capital, where it was signed by European leaders last December.

With all eyes fixed on the advancement of the new EU Treaty negotiations, Portugal has set out another ambitious project for its six-month EU presidency: concrete progress on EU's external relations, particularly with regards to Africa and the Mediterranean.

Anibal Cavaco Silva, a former centre-right prime minister of Portugal, won the presidential elections on 22 January with 50.6% of the votes.