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Portugal unveils latest austerity moves

Portugal unveils latest austerity moves
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Portugal has detailed how it plans to slash another 1.4 billion euros from government spending

The cuts are needed to reduce its budget deficit next year.

The lion’s share will come from mergers and restructuring of state-owned companies.

Even with unemployment at 15.7 of the workforce this year, the government is proposing cutting the number of civil servants, but not with compulsory layoffs. Unemployment is predicted to fall to 14.8 percent in 2015

With economic growth having returned, the government also promised there will be no further tax hikes or cut in wages and pensions.

Portugal is predicting the economy will grow 1.2 percent this year and 1.5 percent next year.