Constancio warns on Portugal's public finances

Antonio Constancio, Governor of the Bank of Portugal, has warned that the country's public finances are in deep trouble and it will be difficult for the government to keep the deficit below the EU's 3 per cent limit.

His comments come after the ECB said in its March monthly report on Thursday 11 March that Germany, France and Portugal risk posting excessive budget deficits for several years, despite their commitments to cut their deficits quickly.

"There is a high risk of persistent or renewed