Public debt fell by €310 million in October
The country's public debt, in Maastricht terms, fell by €310 million in October to a total of €271.2 billion.
Portugal’s public debt, in Maastricht terms, decreased by €310 million in October to €271.2 billion, the lowest figure since January of this year, according to data published on Thursday by the Bank of Portugal (BoP).
“This decrease mainly reflected debt securities redemptions (€0.5 billion),” the central bank explains in the statistical information note.
The public debt ratio in the third quarter was 130.9% of GDP, below the 131.4% of GDP initially estimated (GDP grew by 4.2% YoY in the third quarter). It is the lowest figure since the second quarter of 2020, when Covid-19 arrived in Portugal.
The public debt ratio in the third quarter was 130.9% of GDP, below the 131.4% of GDP initially estimated – GDP grew by 4.2% year-on-year in the third quarter.
The decline in the public debt burden is explained not only by the increase in GDP (denominator), due to the economic recovery in the third quarter following the deconfinement, but also by the reduction in the debt stock. With a higher GDP and slightly lower debt, the debt ratio fell again.
On the monthly data, the central bank figures also reveal that general government deposits decreased by €2.6 billion to a total of €20 billion. Net of those deposits, public debt increased by €2.3 billion compared to the previous month, totalling €251.2 billion.
