The prime minister said on Monday that eight “additional measures” of €2,400 million in inflation-fighting social support would not jeopardize deficit and debt targets in 2022.
“We will calmly meet the targets set for both deficit reduction and public debt reduction in 2022,” António Costa assured.
This position was stated by António Costa at a press conference after an extraordinary meeting of the Council of Ministers, which took place in the Ajuda Palace in Lisbon and was aimed at approving a set of social support measures to combat inflation.
According to the Prime Minister, the measures now announced by the government cover 2.4 billion euros, and in general, the plan of the executive branch to combat the consequences of inflation has already reached 4 billion euros.
António Costa went on to stress that the package of measures, despite the impact on spending increases, still would not jeopardize the executive’s macroeconomic goals in terms of debt and deficit in 2022.
“With interest rates rising, these measures are being taken at the right time, safely. We are taking these steps with the confidence that with what we gain today, we will not lose tomorrow,” he said.
To reporters, the prime minister was keen to emphasize that the task of reducing debt “is of paramount importance, because the smaller the debt, the less interest will be paid and the more resources will be available to invest in areas such as the National Health Service or the security service.”
“We are steadily reducing the relative weight of the interest rate, and in this context, with the European Central Bank already taking action to raise interest rates and expected to take new measures that amplify that increase, accelerating debt reduction means accelerating conditions for so that the country can cope with this situation in the best conditions,” he said.
António Costa later said that one of the rating agencies had raised the level of Portuguese debt to A level.
“This trajectory of international trust is fundamental. When we decided to wait until September to take these measures, it was important that they be taken, given that this increase in spending of the order of 2,400 million euros will not affect the budget targets,” the head of the executive stressed at a press conference.
Author: Lusa
Source: CM Jornal
