Press Release: Portugal given an extra year to correct its deficit

The Council today (9.10.2012) agreed to give Portugal an extra year, until 2014, to correct its excessive government deficit. It adopted:
– a decision modifying the conditions underpinning assistance to Portugal from the European Financial Stability Mechanism (EFSM), with a view to disbursement of the next instalment of financial assistance
– a revised recommendation to Portugal on measures to be taken to bring its government deficit below the EU's 3% of GDP reference value in 2014, relaxing the deficit targets set for 2012 and 2013.
The recommendation sets deficit targets of 5,0 % of GDP for 2012, 4,5 % of GDP for 2013 and 2,5 % of GDP for 2014.