Portugal’s GDP May Have Grown in the Second Quarter, Coelho SaysJoao Lima
The Portuguese economy may have grown in the three months through June after contracting in the 10 previous quarters, Prime Minister Pedro Passos Coelho said.
“We know the second quarter may have interrupted the sequence of 10 consecutive quarters of recession with a return to growth, even if timid,” Coelho said in parliament today.
Portugal’s economy shrank for a 10th quarter in the three months through March as investment dropped and the government cut spending. Economic growth has averaged less than 1 percent a year for the past decade, placing Portugal among Europe’s weakest performers.
The government projects GDP will contract 2.3 percent this year before growing 0.6 percent next year. The jobless rate will climb to 18.2 percent in 2013 and 18.5 percent in 2014.