“A process of early repayment to European creditors is already under way” of the debt contracted by Portugal under the Economic and Financial Assistance Program (PAEF), between 2011 and 2014, with the International Monetary Fund (IMF), European Commission and the European Central Bank (known as 'troika'), the Finance Minister told Lusa this Friday.
“We hope that by the end of the year the first [pagamento antecipado], expected between the end of the third quarter and the beginning of the fourth quarter, will be a payment of around EUR 2 billion, and this payment will bring savings of over EUR 100 million in additional interest to Portugal in the coming years, ”explained Mário Centeno. .
The chairman of the Eurogroup also recalled that “the debt to the International Monetary Fund has been fully paid”, and stated that the prepayment “is possible only along this path and process of reducing interest rates, interest rate differentials, which Portugal has today ”.
On December 10, 2018, the Finance Minister announced that Portugal had paid off the total debt to the IMF, with the settlement of 4.7 billion euros.
The total loan to the IMF amounted to 26.3 billion euros, the remaining 52 billion being split between the European Financial Stabilization Fund and the European Financial Stabilization Mechanism.
It was on 17 May 2014 that the Portuguese adjustment program ended, signaling the departure of the 'troika' from the country, made up of members of the European Commission, the European Central Bank (ECB) and the IMF.
Portugal requested financial assistance on April 6, 2011, with José Sócrates as prime minister. A month later, on 5 May, ika troika ’presented the € 78 billion financial assistance program to Portugal.