Portugal
Portuguese paper questions efficacy of fiscal policy at zero lower bound
Working paper finds that government and private consumption are substitutes when the nominal interest rate is at the zero lower bound; this reduces impact of fiscal policy on output by a third
Portuguese central bank says austerity has hit long-term economic potential
Bank of Portugal annual report finds economy has contracted 7.2% since 2010, thanks to pro-cyclical fiscal contraction that 'may have a long-lasting negative impact on potential growth'
Bundesbank research says sovereign default can be the best option
Discussion paper finds it may be optimal to choose a costly default over legal repayment, but only when a country is facing disaster
Portugal must strengthen institutions to attract foreign direct investment - working paper
Bank of Portugal researchers call for a focus on corruption and strengthening the independence of the financial system to increase attractiveness for FDI
Bank of Portugal distances itself from anti-trust investigation
Portuguese central bank says investigation into banks' anti-competitive practices will not undermine the stability of the financial sector
IMF sees southern European free-fall begin to slow
Mission chief for Greece says painful adjustment proceeding ‘apace’, although questions raised over potential €9.5 billion funding gap; Fund praises ‘impressive policy effort’ in Portugal
Robert Pringle’s Viewpoint: Cameron’s high-risk European gamble
British Prime Minister David Cameron's high-stakes bid to renegotiate the UK’s role within the EU has rankled some officials in Europe. But both sides would lose from a UK withdrawal
Portugal's Costa demands greater European co-ordination
Bank of Portugal governor says individual countries’ adjustment programmes alone are not enough to boost Europe’s growth potential
Bank of Portugal suspends staff holiday pay
Board of directors voluntarily waives own holiday pay and cancels that of its staff; board members also agree to take a pay cut for the fourth consecutive year
Bank of Portugal forecasts economic contraction of 1.6% in 2013
The Portuguese inflation rate is expected to fall below 1% as the economy contracts next year
Portuguese and Irish officials support banking union
Bank of Portugal governor and Central Bank of Ireland chief economist offer support for the creation of a deposit guarantee scheme and banking resolution fund in Europe
Troika praises Ireland for ‘steadfast’ adherence to programme
Conclusion of eighth programme review says Ireland likely to meet deficit target this year; Portugal by contrast facing ‘strong headwinds’ to fiscal adjustment with 2012 targets beyond reach
Eurogroup boosts emergency funding facility
European finance ministers agree to combine two emergency financing vehicles currently running simultaneously in the eurozone; also add €500 billion to lending capacity
ECB allows eurozone central banks to veto collateral
ECB says central banks in member countries can refuse bank bonds guaranteed by governments of countries involved in EU/IMF bailout programmes as collateral
Bank of Portugal paper explores optimal capital structure for businesses
Structure of optimal level of debt a key decision for business, says Bank of Portugal working paper
Philippines reveals extent of lending to IMF
Central Bank of the Philippines announces shift in relationship with International Monetary Fund; holdings from the country have been used to support Ireland, Portugal and Greece
Bank of Portugal paper revisits asset pricing with a bank risk factor
Bank of Portugal research paper investigates how the banking sector influences the stock returns of non-financial firms
Moody’s alters sovereign debt ratings of nine EU countries
Austria, France and the UK see outlooks on Aaa ratings changed to negative; Spain and five other countries’ ratings are downgraded
US housing prices strongly influenced by news, says Bank of Portugal paper
Bank of Portugal study says news shocks explain sizable fraction of variation in house prices and housing investment in the US over the past four decades
Bank of Portugal paper studies public-private sector wage gaps
Bank of Portugal study finds public-sector wage premium in Portugal, Ireland, Greece and Spain were higher than euro area average
Yields soar as Portugal is downgraded
Ten-year yield on Portuguese debt rises sharply as Fitch downgrades Portugal's credit rating to junk status, sparking renewed concerns over the sustainability of the sovereign
Portugal less vulnerable to global price shocks: Bank of Portugal paper
Bank of Portugal study finds the country has one of the lowest price elasticities of external demand in the euro area
BIS report highlights steps to curb sovereign debt risks
Basel working group outlines measures central banks can introduce to mitigate the risks associated with sovereign debt
Portugal downgrade reignites sovereign debt fears
Moody’s downgrades Portugal’s credit rating four notches to junk status; decision sends shudders through European markets as contagion spreads across periphery