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16 September 2013

Reuters: Portugal wants to end 'protectorate', could seek new loan - Portas


If Portugal passes its creditors' current review of its bailout it could consider a precautionary loan programme to replace the current one, said Deputy Prime Minister Paulo Portas.

Inspectors from the European Union and IMF were due to start their latest review of the country's bailout on Monday. The programme ends in the middle of next year, when Portugal is expected to return to full market financing if it can avoid a new bailout.

Portas said Lisbon wants to "end the period of being a protectorate" and would seek to avoid following Greece into a second bailout, but could follow Ireland in negotiating a precautionary lending programme.

The review by the lenders is expected to be more difficult than the previous inspections after a major government reshuffle in July which left Portas, who has challenged austerity measures, in charge of the negotiations with the troika.

Full article



© Reuters


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