This article is from the source 'bbc' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at http://www.bbc.co.uk/news/business-23160037
The article has changed 6 times. There is an RSS feed of changes available.
| Version 1 | Version 2 |
|---|---|
| Portugal borrowing costs rise amid looming crisis | Portugal borrowing costs rise amid looming crisis |
| (35 minutes later) | |
| Portugal's borrowing costs have risen sharply amid fears of a growing political crisis in the country. | Portugal's borrowing costs have risen sharply amid fears of a growing political crisis in the country. |
| Yields on the country's benchmark 10-year bonds moved above 8% for the first time since November in early trading. | Yields on the country's benchmark 10-year bonds moved above 8% for the first time since November in early trading. |
| The main stock market also fell more than 6%. | The main stock market also fell more than 6%. |
| Earlier this week, two leading ministers resigned from the coalition government, which has been in charge since Portugal requested a bailout in 2011. | Earlier this week, two leading ministers resigned from the coalition government, which has been in charge since Portugal requested a bailout in 2011. |
| It received a bailout worth more than 78bn euros ($102bn; £67bn) in May 2011, on the condition it implemented austerity measures. | It received a bailout worth more than 78bn euros ($102bn; £67bn) in May 2011, on the condition it implemented austerity measures. |
| The sharp rise in bond yields suggests investors are less confident that Portugal will be able to repay its international debts. | The sharp rise in bond yields suggests investors are less confident that Portugal will be able to repay its international debts. |
| Long recession | Long recession |
| Demonstrators have taken to the streets in recent days to protest against planned austerity reforms. | Demonstrators have taken to the streets in recent days to protest against planned austerity reforms. |
| On Monday, Finance Minister Vitor Gaspar resigned, followed by Foreign Minister Paulo Portas, who heads the Popular Party - the junior partner in the coalition government. | On Monday, Finance Minister Vitor Gaspar resigned, followed by Foreign Minister Paulo Portas, who heads the Popular Party - the junior partner in the coalition government. |
| The resignations came amid disagreements over Portugal's austerity path. | The resignations came amid disagreements over Portugal's austerity path. |
| Prime Minister Pedro Passos Coelho has pledged to stay in office, but it is not clear whether the Popular Party will continue to work with him. | |
| Local media reports say that two more ministers are expected to resign. | |
| Portugal has been in recession for two years and the economy is expected to contract by 2.3% this year. | Portugal has been in recession for two years and the economy is expected to contract by 2.3% this year. |
| "The political uncertainty in Portugal has really spooked markets," said Ishaq Siddiqi, a financial market strategist at ETXCapital. | |
| "The spectre of another bailout for the country increases on fears of a collapse of the government [that] will result in the country not being able to meet its loan obligations with its international creditors." | |
| Yields on Spanish and Italian bonds have also risen higher, while Europe's major stock markets are down by between 1% and 2%. |