Portugal begins spending freeze

The Portugese government has taken action to freeze non-basic spending temporarily. Many have been concerned that Portugal will be the next area of concern in the Eurozone. Our economics reporter Ben Southwood:

The European Commission yesterday told Portugal it must fully implement its austerity programme if it wants more time to repay aid loans, after its constitutional court ruled against four contested measures.

“Continued and determined implementation of the programme...is a precondition for a decision on the lengthening of the maturities of the financial decision to Portugal, which would facilitate Portugal’s return to the financial markets,” the EU executive said.

(Full article)