IMF Staff Country Reports

Portugal: Sixth Post-Program Monitoring Discussions-Press Release; Staff Report

Publication Date:

February 22, 2018

Electronic Access:

Free Download. Use the free Adobe Acrobat Reader to view this PDF file

Summary:

This paper presents an overview of the Sixth Post-Program Monitoring Discussions with Portugal. The Portuguese economy has strengthened. Supported by a benign external environment, job-rich growth has gathered momentum since late 2016. The headline fiscal balance continued to benefit from stronger growth, controlled budget execution, and falling interest costs, with the 2017 deficit target of 1.4 percent of GDP likely to have been met with some margin. Financial stability has also improved with various bank capital augmentations and the sale of Novo Banco in 2017. Growth is projected at 2.2 percent in 2018. Downside risks in the near term are mostly external in nature and appear moderate.

Series:

Country Report No. 2018/052

Subject:

Banking Credit External debt Financial institutions Loans Money Nonperforming loans Public debt