Portugal Reaches Agreement With Some Banks on ‘Toxic’ Contracts
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Portugal reached an agreement with some banks to reduce an approximately 3 billion-euro ($3.9 billion) “toxic” bill from derivative contracts that the lenders signed with state-owned companies, said Maria Luis Albuquerque, the secretary of state for treasury and finance.
“These agreements will enable the Portuguese state to save 170 million euros in interest payments in coming years and immediately reduces about 20 percent of potential responsibilities,” Albuquerque said at a press conference in Lisbon last night.