Bank of Portugal forecasts 2.5 pct economic growth this year

Source: Xinhua| 2017-10-04 22:25:49|Editor: Liangyu
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LISBON, Oct. 4 (Xinhua) -- The Portuguese economy is expected to grow 2.5 percent in 2017, the Bank of Portugal announced in a statement on Wednesday.

The figure remains unchanged from the central bank's last growth forecast, published in June.

If the projection proves correct, Portugal will grow at a faster rate than the rest of Europe for the first time since the turn of the century.

In 2016, the economy grew 1.5 percent. The central bank said the 12-month turnaround is the result of increased investment and more competitive exports. Tourism was singled out, having grown at an average rate of 11 percent in recent years.

The central bank said Portugal should be able to meet its 2017 debt and deficit targets.

The IGCP, Portugal's debt management agency, is preparing to auction 6 billion euros worth of debt in October. With this off the books, the central bank says Portugal will be well placed to meet targets laid out in the European Union's Excessive Deficit Procedure program.