Portugal’s total debt falls to 359.96% of GDP
Portugal’s total debt, meaning both public and private sectors, but excluding the banking system, rose to €782.5Bn in March – an increase of €5.1Bn on February, according to data published by the Bank of Portugal on Thursday.
However the ratio fell to 359.96% of GDP in the first quarter of 2022, the lowest value since the second quarter of 2020.
Public sector debt grew €1.8Bn while private non-financial sector debt grew €3.3Bn according to figures released by the Bank of Portugal released on Thursday.
It set a new record for Portugal’s economic indebtedness. Early this month, the Adjunct Secretary of State for Fiscal Affairs, António Mendonça Mendes admitted that Portugal’s debt was the “biggest problem we have”.
He said that the “central aim” of the State Budget 2022 was to get Portugal’s public debt down and: “Portugal is one of the countries which is most in debt in the world” which called for “responsible policies”.
“We can’t talk about economic growth and a sustainable future for the generations to come without dealing with the biggest issue we have, which is our debt,” he said.
“In March non-financial debt (public administration, public companies and private companies) increased €5.1Bn to €782.5Bn” states a communiqué from the central bank which “sets a new record”.