Brussels, 30/08/2013 (Agence Europe) - The Portuguese constitutional court has ruled as being against the Portuguese constitution a draft law to facilitate the dismissal of civil servants.
This decision obliges Pedro Passos Coelho's Centre-Right government, which has only just recovered from a political crisis, to find new savings to compensate for what the court has rejected. “We will find other solutions which will perhaps not be the best, but which will resolve the issue”, assured Passos Coelho, reports AFP. “I don't think the country will accept more taxes”, he added.
Portugal must bring its deficit down from 6.4% of GDP in 2012 to 5.5% in 2013 and 4% in 2014.
The troika (European Commission, ECB and IMF) will be in Lisbon in mid-September to review the Portuguese adjustment programme implemented in exchange for international financial aid, after their visit was cancelled in July due to the political crisis (see EUROPE 10900). (MB/transl.fl)