Political crises and bankruptcy

The announcement of more austerity measures and the ensuing political crisis increased the chances of Portugal falling into bankruptcy in five years’ time by four percentage points, from 31.58% to 35.28%, in just one week (from September 14-21), according to financial data provider CMA DataVision. Published the same day as the CMA DataVision data (September 21), British magazine The Economist printed an article entitled “The tipping point: How much austerity is too much?” questioning the Government’s austerity measures.