The Economic Adjustment Programme for Portugal – Eleventh Review

The report assesses compliance with the terms and conditions set out in the Memorandum of Understanding as updated following the Tenth Review of the Portuguese Economic Adjustment Programme.

The assessment is based on the findings of a joint European Commission (EC)/European Central Bank (ECB)/International Monetary Fund (IMF) staff mission to Lisbon between 20 February and 28 February 2014. The mission concluded that the programme implementation is broadly on track. The 2013 budget deficit was 4.9 percent of GDP, significantly below the Programme target of 5.5 percent of GDP.

Most of the economic indicators point to a continued economic recovery and the authorities are committed to implement the required fiscal and structural reforms to recuperate sustainable growth. The Programme's financing envelope remains sufficient. Approval of the conclusions of this review will allow the disbursement of EUR 2.5 billion (EUR 1.6 billion by the EU and EUR 0.9 billion by the IMF), bringing the total amount disbursed to Portugal to EUR 77 billion representing roughly 97 percent of total available financial assistance.

European Commission: DG Economic and Financial Affairs: European Economy: Occasional Paper No. 191, April 2014: The Economic Adjustment Programme for Portugal - Eleventh Review http://ec.europa.eu/economy_finance/publications/occasional_paper/2014/op191_en.htm

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