Portuguese President gives go ahead to the government over the State Budget 2019

  • ECO News
  • 21 December 2018

The President is still worried about the feasibility of the State Budget, in the in the event that some unexpected issues occur. He warned the government that GDP might grow less than expected.

The Portuguese President has already given the go-ahead to the government, over the State Budget 2019 negotiations, which is the last of Costa’s administration who has promised to achieve a 0 deficit. But Marcelo Rebelo de Sousa has, attached to his acceptance note, a series of warnings addressed to the government.

First, he justified the decision to endorse the State Budget with “how complex the external situation is at the moment, how valuable political stability is, the importance of continuing our efforts to control budgetary deficit while simultaneously reducing public debt, the credibility achieved which should be maintained and reinforced in all foreign international financial institutions”, the note published on the Presidency’s website read.

Conversely, the President raised the attention of the government to the fact that the macroeconomic environment predicted in the State Budget’s papers estimated GDP to grow more than the expected by many other relevant financial institutions (BdP revised it at 1.8%, earlier this week, while the government’s estimate stands at a 2.3% growth).