PORTUGAL ASKS
FOR ECONOMIC RESCUE



           As has already happened to Greece and Ireland, Portugal has just asked the EU and more particularly Germany, which seems to be the country with the best financial resources, to bail them out.
In May 2010 the Euro Crisis started in Greece because of government debts, the International Monetary Fund and the Euro Zone countries gave €110 billion to the country, and they ordered Greece to take austerity measures. Then, in November, Ireland needed an €85 billion rescue package. And on 6th of April 2011 Portugal began conversations with the European Commission, the European Central Bank and the International Monetary Fund to begin the third bailout rescue.
Portugal's problems intensified on 24th March when the Prime Minister Jose Socrates resigned following the rejection of the opposition to his forth cutback plan. The Portuguese government asked the Euro Zone for financial. The European commission then sent to a delegation from the European Central Bank to Lisbon.
The president of the Euro group, Jean-Claude Junker, decided that €50.000 million would be lent by, FEEF and the rest, €25,000 by the IMF, totalling €75,000.  Of the € 50.000 million lent, Germany is going to be the largest contributor with 14.500 million, but other countries are also going to give aid like France (€11.000 million), Italy (€9.600 million) and Spain (€6.400 million).
Thanks to the assistance received from foreign countries, Portugal is making a "true national effort" that includes the reduction of pensions, health care costs and unemployment services, as well as the reform of the labour market.
Now we only have to wait to see if the worst predictions are confirmed and Spain will have to be rescued by Europe. We wish it would not become real.


by Marina Quesada Lavín
 
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