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Significance

Portugal is set for the best five-year period of growth since the turn of the millennium, unemployment is falling and public finances are showing positive signs. The upswing is reflected in the remarkable stability of the political system.

Impacts

The economic recovery is likely to drive down yields on government bonds.

Centeno’s appointment as Eurogroup president will raise Portugal’s standing in the EU.

Security concerns in many Mediterranean countries are likely to boost Portugal’s tourism industry.

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