Statement: Statement by the EC, ECB and IMF on the Eleventh Review Mission to Portugal

Staff teams from the European Commission (EC), European Central Bank (ECB), and International Monetary Fund (IMF) visited Lisbon during 20-28 February 2014 for the eleventh quarterly review of Portugal’s economic adjustment programme.

The mission concluded that the economic recovery is strengthening, the programme’s fiscal targets remain unchanged and that the stabilisation of the financial sector has continued, but low profitability, high corporate debt levels and financial fragmentation are still posing challenges. Also, it concluded that a deepening of the structural reforms agenda is needed to continue the switch to an export-led growth model. The programme remains on track, as also reflected in improved market sentiment.

The conclusion of the 11th review could take place in April 2014, subject to the approval of ECOFIN and Eurogroup and of the IMF Executive Board. The joint mission for the next programme review is expected to take place in April 2014.

• Primary Source

ESO: Background information: The Economic Adjustment Programme for Portugal. Tenth Review http://www.europeansources.info/record/the-economic-adjustment-programme-for-portugal-tenth-review/

ESO: Background information: Portugal's patchwork plan for recovery http://www.europeansources.info/record/portugals-patchwork-plan-for-recovery/

IMF: IMF and Portugal http://www.imf.org/external/country/prt/

Euronews, 27.02.14: Portugal buys back bonds preparing for bailout exit http://www.euronews.com/2014/02/27/portugal-buys-back-bonds-preparing-for-bailout-exit/

Reuters, 28.02.14: Portugal sees brighter economic outlook, passes bailout review http://www.reuters.com/article/2014/02/28/us-portugal-bailout-idUSBREA1R1R020140228

Diário de Notícias, 04.03.14: Crisis stopping Portuguese from having children (via Euro|Topics) http://www.eurotopics.net/en/home/presseschau/archiv/aehnliche/archiv_article/ARTICLE139476-Crisis-stopping-Portuguese-from-having-children

Jornal de Negócios, 10.03.14: Portugal still needs aid programme (via Euro|Topics) http://www.eurotopics.net/en/home/presseschau/archiv/aehnliche/archiv_article/ARTICLE139798-Portugal-still-needs-aid-programme

The New York Times, 26.03.14: Most Anything Is Fair Game in Portugal’s Quest for Cash, Including the Mirós http://www.nytimes.com/2014/03/27/world/europe/portugals-move-to-sell-miro-works-raises-debate-of-preservation-vs-privatization.html

Jornal de Negócios, 31.03.14: Portugal not out of the woods yet (via Euro!Topics) http://www.eurotopics.net/en/home/presseschau/archiv/aehnliche/archiv_article/ARTICLE141021-Portugal-not-out-of-the-woods-yet

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