Portugal to take "all measures" to ensure liquidity

LISBON, April 6 (Reuters) – Portugal’s caretaker government
will take all the measures in its reach to guarantee liquidity
and financing for the economy, after a T-bill sale showed
deteriorating market conditions, the finance ministry said on
Wednesday.

Most economists are convinced Portugal will soon need an
international bailout.

The ministry said in e-mailed comments to Reuters that last
month’s rejection of the government’s latest austerity plan by
the opposition “has caused irreparable damage” which is
reflected in current record-level borrowing rates.

The ministry added that the government can meet its
financial commitments and that it is in permanent contact with
the Bank of Portugal regarding the situation of the country’s
banking system.

(Reporting by Sergio Goncalves; writing by Shrikesh
Laxmidas)

Portugal to take "all measures" to ensure liquidity