World Economy

Portugal to Reduce Budget Deficit

Portugal to Reduce Budget DeficitPortugal to Reduce Budget Deficit

Portugal’s Socialist government aims to sharply reduce the country’s budget deficit in the coming years in a bid to comply with European Union rules and convince markets it remains committed to fiscal discipline, Bloomberg reported. The government forecasts the budget deficit will fall from 4.4% of gross domestic product last year to 2.2% this year and 1.4% in 2017, according to the country’s stability program, which was approved at a cabinet meeting on Thursday. In the report, Portugal is targeting economic growth of 1.8% this year and the next, and as much as 2.1% in 2020.