Portuguese Government Fails, EU Approves Bailout

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Description: Transcript by www.newsy.com BY EMOKE BEBIAK ANCHOR ALEX HOLLEY You're watching multisource world video news analysis from Newsy. The possibility of a Portuguese bailout was on top of the agenda at an EU summit on Thursday. Portugal will likely get a bailout for more than $100 billion after its government failed to implement austerity measures and fell as a consequence Wednesday night. Former Prime Minister Jose Socrates resisted asking for EU funding and resigned after all five opposition parties voted against spending cuts following public sentiment. The New York Times says regardless of what a future Portuguese government wants, the bailout is coming - the only question is, when? "With a rescue of Portugal seen now by most analysts as almost inevitable, the debate shifted Thursday to its likely timing — and whether any bailout would precede the formation of a new government in Lisbon following an expected general election in about two months." Sky News reports the Portuguese bailout is troubling, because other countries might also refuse to reduce spending and could ask for EU funds. "The thing that's noteworthy here is the way that Portugal ended up getting up to the point where it needs a bailout. Inside Portugal there was a popular revolt against the austerity measures that the EU said were needed. And that is fairly unpredictable." But German Chancellor Angela Merkel says Portugal needs to take responsibility for its financial crisis. "Now everyone in positions of ...
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Added: 05-05-11 Views: (238)