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Portugal economy to grow 0.8% in 2010

19 November 2009

In 2010 the Portuguese economy will grow by 0.8%, after the 2009 GDP reading of a 3.2% downturn.

The country is reportedly to grow at a slightly faster rate than the Euro Zone (0.7%), but unemployment will continue to increase over the coming year representing an obstacle for economic growth as well as the public deficit.

Excluding Spain, the only economy in the Euro area that will still be in the crisis in 2010, the primary client economies for Portugal - Germany and France - will record expansion above the Euro Zone average which the Portuguese economy might also benefit from.

For the Fitch, Moody's and Standard & Poor's ratings agency, Portugal will be the last country to come out of the crisis. The increase in unemployment, the high deficit, the public debt and external accounts in the red are the reasons that explain the weak future importance of the Portuguese economy.

Source: ANSAmed






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