So Portugal is the latest eurozone country to ask for a bail out. The Country's caretaker Prime Minister Jose Socrates followed Greece and the Irish Republic in seeking financial help. Jose Socrates had put off a bail-out request as long as he could, having stepped down as prime minister after failing to pass austerity measures.
"I always said asking for foreign aid would be the final way to go but we have reached the moment. Above all, it's in the national interest."
EU finance ministers will discuss the request when they meet in Budapest later.
It's a complicated picture. It's not clear how much aid Portugal will ask for. Negotiations will now be under way and the ±«Óãtv's business editor Robert Peston said rescue loans could amount to as much as 80bn euros ($115bn; £70bn).
Yesterday the government raised about 1bn euros after tapping the financial markets in order to repay loans, but will have to pay a higher interest rate to lenders.
Portugal's problems have been different from those of the other countries that have needed bailing out.
Low economic growth and high wages have meant that the country has struggled to raise enough money through taxation to pay for government spending.
Spain insists it won't spread to them.
Ritchie_I tweets
Why should we have to increase our own borrowing to help bail Portugal out. Sort ur own mess out eurozone
richdavidson tweets
You're only getting half the story. We bail out Portugal so we don't expose how weak uk banks are. THAT is the swindle here
We'll be joined by people in Portugal, Greece and Ireland live on air at 1100GMT. The ±«Óãtv's Stephen Evans, former Business presenter, now Berlin Correspondent will also be here to answer your questions.
Your comments
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12:20
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Straightalk comments on the ±«Óãtv's Robert Person's blog: Frankly I am sick and tired of the idea of keeping these various EU countries afloat with tax payers money, which we all contribute to in Europe.
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12:20
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Michael in Malawi says on Facebook: I think the EU should bailout Portugal,they really need it.
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12:15
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Jose in Porto in the north of Portugal emailed the ±«Óãtv: Portugal should have never joined the Euro. Nor Portugal, nor any small economy in the european context. We were in crisis before the World was in crisis, and without our own coin, the Escudo, we lost the capacity to fight as an independent and sovereign state!
Comment sent via YOURSAY
12:15
113631290
Straightalk comments on the ±«Óãtv's Robert Person's blog: Frankly I am sick and tired of the idea of keeping these various EU countries afloat with tax payers money, which we all contribute to in Europe.
Comment sent via YOURSAY
12:12
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Mark emailed the ±«Óãtv: I am Portuguese living in London but have family there who have told me there is a feeling that the Government has let it's people down.
Comment sent via Facebook
12:02
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John says:: How did so many EU countries end up in this mess?
Comment sent via YOURSAY
12:01
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Greek dude in Athens tweets: It won't take long before Spain starts with "We're not Portugal", like Portugal wasn't Ireland that wasn't Greece.
Comment sent via YOURSAY
11:53
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Ernest in Portugal emails: The bail-out request is most essential for the economic future of Portugal and should have been requested long ago.
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11:52
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Denver Reynolds posts on business insider.com: Wow, big surprise. Only months ago Portugal and the EU were swearing that there would be no bailout needed. Bravo!
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11:45
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Paula says: So much for European camaraderie. Is it only a matter of time before a country decides to exit the partnership?
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11:45
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We''re on air now discussing the Portuguese bailout. Post your comments here.
Should the rest of Europe bail out Portugal?
| Thursday, 4 April 2011 | 12:00 - 12:30 GMT
So Portugal is the latest eurozone country to ask for a bail out. The Country's caretaker Prime Minister Jose Socrates followed Greece and the Irish Republic in seeking financial help. Jose Socrates had put off a bail-out request as long as he could, having stepped down as prime minister after failing to pass austerity measures.
"I always said asking for foreign aid would be the final way to go but we have reached the moment. Above all, it's in the national interest."
EU finance ministers will discuss the request when they meet in Budapest later.
It's a complicated picture. It's not clear how much aid Portugal will ask for. Negotiations will now be under way and the ±«Óãtv's business editor Robert Peston said rescue loans could amount to as much as 80bn euros ($115bn; £70bn).
Yesterday the government raised about 1bn euros after tapping the financial markets in order to repay loans, but will have to pay a higher interest rate to lenders.
Portugal's problems have been different from those of the other countries that have needed bailing out.
Low economic growth and high wages have meant that the country has struggled to raise enough money through taxation to pay for government spending.
Spain insists it won't spread to them.
Ritchie_I tweets
Why should we have to increase our own borrowing to help bail Portugal out. Sort ur own mess out eurozone
richdavidson tweets
You're only getting half the story. We bail out Portugal so we don't expose how weak uk banks are. THAT is the swindle here
We'll be joined by people in Portugal, Greece and Ireland live on air at 1100GMT. The ±«Óãtv's Stephen Evans, former Business presenter, now Berlin Correspondent will also be here to answer your questions.
Your comments
Comment sent via YOURSAY
Straightalk comments on the ±«Óãtv's Robert Person's blog: Frankly I am sick and tired of the idea of keeping these various EU countries afloat with tax payers money, which we all contribute to in Europe.
Comment sent via Facebook
Michael in Malawi says on Facebook: I think the EU should bailout Portugal,they really need it.
Comment sent via YOURSAY
Jose in Porto in the north of Portugal emailed the ±«Óãtv: Portugal should have never joined the Euro. Nor Portugal, nor any small economy in the european context. We were in crisis before the World was in crisis, and without our own coin, the Escudo, we lost the capacity to fight as an independent and sovereign state!
Comment sent via YOURSAY
Straightalk comments on the ±«Óãtv's Robert Person's blog: Frankly I am sick and tired of the idea of keeping these various EU countries afloat with tax payers money, which we all contribute to in Europe.
Comment sent via YOURSAY
Mark emailed the ±«Óãtv: I am Portuguese living in London but have family there who have told me there is a feeling that the Government has let it's people down.
Comment sent via Facebook
John says:: How did so many EU countries end up in this mess?
Comment sent via YOURSAY
Greek dude in Athens tweets: It won't take long before Spain starts with "We're not Portugal", like Portugal wasn't Ireland that wasn't Greece.
Comment sent via YOURSAY
Ernest in Portugal emails: The bail-out request is most essential for the economic future of Portugal and should have been requested long ago.
Comment sent via YOURSAY
Denver Reynolds posts on business insider.com: Wow, big surprise. Only months ago Portugal and the EU were swearing that there would be no bailout needed. Bravo!
Comment sent via Facebook
Paula says: So much for European camaraderie. Is it only a matter of time before a country decides to exit the partnership?
Comment sent via host
We''re on air now discussing the Portuguese bailout. Post your comments here.