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| Portugal election: ruling centre-right coalition heads for victory | Portugal election: ruling centre-right coalition heads for victory |
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| Portugal’s centre-right government was headed for victory in a election on Sunday night after launching tough austerity measures to combat a debt crisis, but exit polls showed it could lose its majority in parliament. | Portugal’s centre-right government was headed for victory in a election on Sunday night after launching tough austerity measures to combat a debt crisis, but exit polls showed it could lose its majority in parliament. |
| The government coalition was projected to win between 36.4% and 43% of the vote while the opposition centre-left Socialists were set to get 29.5% to 35%. | The government coalition was projected to win between 36.4% and 43% of the vote while the opposition centre-left Socialists were set to get 29.5% to 35%. |
| The range of projections put the highest possible number of seats the government could win at 118 in the 230-seat parliament, but other tallies pointed to an amount lower than the 116 needed for an outright majority. | The range of projections put the highest possible number of seats the government could win at 118 in the 230-seat parliament, but other tallies pointed to an amount lower than the 116 needed for an outright majority. |
| A minority government could pose a big challenge for Portugal, where not a single minority administration has survived a full term since the country returned to democracy in 1974. | A minority government could pose a big challenge for Portugal, where not a single minority administration has survived a full term since the country returned to democracy in 1974. |
| “In the name of the coalition we are here to affirm that all the projections that are known point to a clear fact that the coalition Portugal Forward had a great victory on this election night,” Marco Antonio Costa, deputy president of the main coalition party, the Social Democrats, told cheering supporters. | “In the name of the coalition we are here to affirm that all the projections that are known point to a clear fact that the coalition Portugal Forward had a great victory on this election night,” Marco Antonio Costa, deputy president of the main coalition party, the Social Democrats, told cheering supporters. |
| Prime minister Pedro Passos Coelho’s ruling coalition has imposed tax hikes and spending cuts, but argued during the campaign that the country was beginning to see the fruit of the measures, with a gradual recovery after three years of recession. | |
| The election is one of several this year to test European voters’ readiness to pursue austerity plans intended to restore public finances after sovereign debt crises. Greek voters last month re-elected its prime minister, Alexis Tsipras, even after he swallowed the stringent bailout terms he once rejected, and Spanish voters go to the polls in December. | The election is one of several this year to test European voters’ readiness to pursue austerity plans intended to restore public finances after sovereign debt crises. Greek voters last month re-elected its prime minister, Alexis Tsipras, even after he swallowed the stringent bailout terms he once rejected, and Spanish voters go to the polls in December. |
| Victory for the government was unthinkable just a few months ago, when all polls gave a solid lead to the opposition centre-left Socialists, who have promised to ease back on austerity and give more disposable income back to families. | Victory for the government was unthinkable just a few months ago, when all polls gave a solid lead to the opposition centre-left Socialists, who have promised to ease back on austerity and give more disposable income back to families. |
| The general election was the first since Portugal exited an international bailout last year. | The general election was the first since Portugal exited an international bailout last year. |
| In the last general election, in 2011, the two ruling parties together won 50.3% of the vote, securing them a stable majority government. The Socialists won 28%. | In the last general election, in 2011, the two ruling parties together won 50.3% of the vote, securing them a stable majority government. The Socialists won 28%. |
| Related: Portugal's election – a guide to the parties and politics | Related: Portugal's election – a guide to the parties and politics |
| Duarte Cordeiro, head of Socialist leader Antonio Costa’s campaign, said if the projections are confirmed, it would leave the Socialists short of their goal of forming a government themselves. | Duarte Cordeiro, head of Socialist leader Antonio Costa’s campaign, said if the projections are confirmed, it would leave the Socialists short of their goal of forming a government themselves. |
| “If these results are confirmed, we believe that there is no parliamentary majority for any of the candidates in these elections,” said Cordeiro. | |
| The formation of the government will then depend on president Anibal Cavaco Silva, whose duty it is to name the next prime minister. However the constitution does not specify how the president should pick the winner, whether by the number of votes or the number of lawmakers elected to parliament. | The formation of the government will then depend on president Anibal Cavaco Silva, whose duty it is to name the next prime minister. However the constitution does not specify how the president should pick the winner, whether by the number of votes or the number of lawmakers elected to parliament. |
| “I’m confident in the job I’ve done … It’s a day of hope because the next four years will be very different from the past four,” Coelho told reporters after voting on the outskirts of Lisbon, urging people to leave their homes to vote despite poor weather. | “I’m confident in the job I’ve done … It’s a day of hope because the next four years will be very different from the past four,” Coelho told reporters after voting on the outskirts of Lisbon, urging people to leave their homes to vote despite poor weather. |
| Portugal’s economy returned to timid growth last year after a three-year recession and growth is now accelerating. | Portugal’s economy returned to timid growth last year after a three-year recession and growth is now accelerating. |
| Going into the election, investors were broadly confident that Lisbon would pursue its reforms. Portuguese bond yields held just above seven-week lows on Friday. | Going into the election, investors were broadly confident that Lisbon would pursue its reforms. Portuguese bond yields held just above seven-week lows on Friday. |