Wednesday, November 30, 2016

Unemployment rate stabilizes in September – RTP

The National Institute of Statistics predicted tentatively that in October the unemployment rate will be 10.8 – a decline of a tenth.

In September, the unemployed population was approximately 558 thousand persons, an absolute number less than the August.


S&P: “We assess the ability of the new management of GBD” – Jornal de Negócios – Portugal

The Standard & Poor’s continues with the rating of the Caixa Geral de Depósitos under review with positive implications, a process that began in August after the announcement of the agreement in principle with Brussels for the recapitalization of a public bank. But it throws some warnings about the timely completion of the process of recapitalisation and that you need to assess the ability of future management to proceed with strategic objectives.

The agency notes that despite the resignation of António Domingues and other officers, “the agreement in principle announced in August continues, and the Government is working to find a team to substitute for the management of the GBD”. But, in a note released Wednesday, reveals that will “assess the ability of new management to comply in a timely manner the strategic objectives of the GBD and the improvement of profitability and asset quality”.

Another factor that the S&P will pay close attention to “monitoring closely”, is “if the recent developments will result in strategic changes to the plan of recapitalization already announced, including the term that it will be necessary to materialize”.

So, the S&P continues to admit a possible rise of the “rating” after the trial period. After this Tuesday, the DBRS has placed the rating of public bank under negative surveillance after the resignation of António Domingues and the delay in the process of recapitalisation. The agency of canada classifies the CGD at BBB (low), a level above the level seen as “garbage” by the markets. But threatens to cut the rating if the problems of corporate governance are reflected in the confidence of investors and the profitability of the bank.

As the S&P has a rating of BB-, three levels below investment grade. The fact that it has the rating under review with positive implications to indicate the possibility of the classification of the Box with the S&P to improve. But that decision “remains subject to the formal approval of the recapitalisation plan of the GBD on the part of the European Commission and of the specific details on the amount and use of capital injection”.


Consumption and exports accelerate, but investment falls more – the Public.en

it Is mainly the acceleration of exports and the fact that they are increasing by more than imports, which explains the pace of growth of the Portuguese economy in the third quarter at 1.6% year-on-year and 0.8% compared to the previous three months. But not only that. The contribution of domestic demand to the variation in the Gross Domestic Product (GDP) also increased to the ride of a rise in private consumption in the country.

The values of the growth are already known for the last 15 days, but to publish on Wednesday the Quarterly National Accounts the National Institute of Statistics (INE) presents a more detailed way a set of data that help view the evolution of the GDP.

The growth "the most intense of GDP reflected mainly the increase in the contribution of net external demand". The year on year growth of 1.6%, up 0.7 points due to external demand, or exports minus imports. In the previous quarter, the economy had grown by 0.9%, its weight was only 0.1 points.

Already, the domestic demand (consumption plus investment) amounted to 0.9 points of GDP in the period from July to September, when in the previous three months was 0.8 points (in a range of 0.9%).

families (residents in Portugal) are consuming more, increasing the contribution of domestic demand to the growth rate of GDP".

private consumption (what is spent on final consumption by the citizens) increased by 1.9% from July to September compared to the same period of last year, progressing at a pace that was more celebrated than in the previous three months (0.3 percentage points above).

The acceleration, explains the INE, is due to the increase of purchases of non-durable goods and services, that presented an annual variation of 1.5% (1% in the previous quarter). Although the consumption of durable goods is growing much more, slowed down in relation to the pace of the previous three months, "moving from an annual variation of 7.9% in the second quarter to 6.2% reflecting, to a large extent, the evolution of component car".

which continues the negative is the investment, which shrank by 3.1% in terms of year-on-year fell more than in the previous three months, which represents a decrease of 2.3% in comparison year-onyear. In the investment, accounts for the gross fixed capital formation but also the so-called "change in inventories", which corresponds to the difference between the inputs and outputs of raw materials, products in progress or goods intended for resale, for example.

THE INE stresses that this result was "conditioned negatively by the disinvestment in the domestic economy associated with the export of military equipment" (F-16) for Romania in the amount of 70 million euros. Because statistically the equipment is counted as fixed capital, when there is a sale abroad – as happened in this case, its value counts as export (and translates into disinvestment in the figures for gross fixed capital formation, in the same way that would count as investment – and import – if it were otherwise). In any case, vinca INE, "the impact on GDP is approximately null at the time of the transaction".

As to the exports, which were up 5.4% in the third quarter compared with the same period of 2015, when in the previous three months had risen just 1.8%, the acceleration "was common to the components of goods and services". Imports also began to grow more, but still continue to move forward at a pace that is lower than the sales of goods and services (increased by 3.5% year-on-year, after a growth of 1.4% in the second quarter).


The new Database simplifies internal organization before the sale – Jornal de Negócios – Portugal

when there are few weeks to know who will purchase the New Bank, the institution led by António Ramalho has just completed “the first phase of the transformation project, simplifying the structure of the organization at the level of the managers of the first line,” says the bank in a note sent to the Business.

This simplification, which comes into force on the 1st of January, resulted in the reduction of the “ten core structures, and their respective directors, coordinators, from the current 39 to 29, which represents a decrease of 25.6% in the structures of the top of the bank,” says the institution. The process encompasses several areas of the bank, in particular, in the areas of marketing, commercial and credit recovery”.

The New Bank did not specify whether this reorganization will contribute to the effort of cost reduction in march. But, in the long term, this is the final goal of simplification now decided, a time that some of the directors coordinators to cease to exercise this function. In the first nine months of the year, operating expenses totalled $ 449,9 million euros, showing a reduction of 24.3% compared to the same period of the previous year”, underlines the institution.

When this simplification to come into force on 1 January, the Bank of Portugal should already have announced who is going to buy the New Bank, the decision that the institution led by Carlos Costa wants to take until the end of the year.

at This time, the team responsible for the divestiture process, led by Sérgio Monteiro, holds discussions with the five candidates for the purchase of the New Bank: BPI, BCP, Apollo/Centerbridge, Lone Star and China Minsheng.

The first four stakeholders positioned to direct selling, while the chinese group applied the sale of business in the market, which provides for the dispersion of most of the capital to one or more investors. As the Business has advanced to the 7 November, the final proposals submitted by the five candidates admitted, among other scenarios, the fusion of different gifts in one.


After all, what was the impact of the F-16 on the growth of GDP? – Jornal de Negócios – Portugal

In the past few days, generated-if any of confusion surrounding the impact that the sale of F-16 to Romania had in the growth of the Portuguese economy. Some news and opinion articles argued that it had been that transaction extraordinary to justify a GDP growth more pronounced than expected.

however, as she explains, today the National Institute of Statistics, this operation – evaluated by the INE in 70 million, has had a null impact on the growth of the Portuguese economy.

How? When buying/selling a F-16 (or other commodity) abroad, this counts as import/export. But it is also registered as an investment/disinvestment. Is that in the most recent amendment to the rules of national accounting, defined at the european level, the military equipment started to count as gross fixed capital formation.

The explanation of INE is quite clear: “according To the European System of Accounts, ESA 2010, the military equipment is accounted for as fixed capital. The acquisition of the foreign translates simultaneously in investment and imports. The sale to the foreigner, likewise, translates into exports and disinvestment. In any case the impact on GDP is approximately null at the time of the transaction.”

that is, what this operation did was to simply re-balance the contributions of the growth, giving more emphasis to the external front and less to the internal. The sale of F-16 was an export and, at the same time, a divestment in the amount of 70 million. This means that, without the transaction, the exports would have grown by 5% (instead of 5.4%) and the investment fallen to 0.5% (instead of down 1.5%). The investment in machinery and equipment, in particular, would have triggered a 7.2% instead of the growth of 3.1% that was registered.

a few years Ago this effect would not be possible, since the military equipment was not considered to be investment in the system of accounts previous (ESA 95). Only counting the investment the military equipment that had civilian use, but two years ago this was extended to all the weaponry. The logic is that this type of equipment is not consumed in a single year or quarter. Is used (or capable of use) for a long time.

military equipment is integrated in the gross fixed capital formation in the segment of “other machinery and equipment”, which represents 27% of the investment done in Portugal. The item the more relevant it is – and always was – the construction, with a weight of 48%.


Local accommodation has boosted the price of houses by 30% since 2014 – Diário de Notícias – Lisbon

Hoteliers ask for rules more tight, calling the local authorities to assess what may or may not be for rent to tourists

it is only the lease that is more expensive with the boom of the local housing in cities such as Lisbon and Porto. The price of homes for sale increased 30% since 2014, shows a study by the New University of Lisbon at the request of the Associação da Hotelaria de Portugal.

all in all, since the change of law in November 2014, which came to facilitate the legalization and registration of accommodation to tourists, the price of houses has increased between 600 and 650 euros the square meter in areas of highest demand. Lisbon, Porto and the Algarve are among the regions most affected by this phenomenon, which did pass the average values of the sale of 2194 euros per square meter in 2011 to 2784 euros this year.

When looking at the rental market, the effect is similar: the houses are more expensive because the law made it more advantageous to open them to tourists. In regions of high local lodging there are “an estimated effect of 13.2% in the price of rent”, reveal the hoteliers, for whom the strong increase of homes for rent on a temporary basis is to achieve a “situation de rupture”.

And there are areas where the cumulative effect is already undeniable, stresses Carlos Santos, one of the responsible for the study. In Santa Maria maggiore, the parish of Bairro Alto and Chiado, or 15.1% of the homes available now are for local accommodation. And if you count with the online portals such as Airbnb, the percentage rises to 22%.

Is the area of the country with the highest concentration of offer, but not the only one. Also in Lisbon, in the parish of Mercy, which results from the aggregation of the ancient parishes of the Incarnation, Mercês, Santa Catarina and São Paulo, and 12.2% of the properties are for accommodation local to 18.5% if the base extends to online portals.

Lagos, Lagoa and Albufeira are the parishes that follow in the concentration of supply of accommodation, the Algarve accounts for more than 15 thousand houses to receive tourists. Already at the Port, the Union of the Freguesias de Cedofeita, Santo Ildefonso, Sé, Miragaia, São Nicolau and Vitória has 11,1% of real estate only to the accommodation location.

Cristina Siza Vieira reminds us that the accommodation must comply with the rules of order and pass a control thinner Turismo de Portugal. If possible, adds the executive chairman of the AHP, the chambers must be called to authorise the existence of these premises that, in the limit, operate in competition with the hospitality, but beyond the rules that the hoteliers are required.

These measures are among the six proposals released by the AHP to the revision of the laws of 2014, where we also include the distinction of the character of permanent housing and sporadic; suggest the authorization of the property owners for the installation of a local accommodation that operates for more than 60 consecutive days and, among others, requires reporting of operation to the National Statistics Institute to “to learn effectively the dimension” of the industry.

The National Register of Local Accommodation (RNAL) it just lets you know that there are a little over 34 thousand in Portugal, but some have not registered even the number of beds available. The AHP, with the help of the New University, it is estimated that there are 196 755 beds of accommodation for tourists in our country in the spaces recorded, against 214 774 beds hotels.

And the number can even be higher good: it is that there is a deviation of 40% between the number of premises legal and accommodation available in the various sites, which may mean that the sector has more beds available than the hotels themselves.

Ana Mendes Godinho, secretary of State for Tourism, says that the contribution of the accommodation place for the dynamism of the cities is undeniable and promises changes soon. Among others, will tighten the safety rules, posted signs of the spaces in the suburban and will increase the effectiveness of fines to anyone who is illegal.


INE confirms growth of 0.8% in the 3.First quarter – the Observer

exports gave the motto and the economy grew more than expected and above the average that has occurred in recent years, says the INE, which confirms the growth in numbers posted for fifteen days, from 0.8% quarter-over-quarter and 1.6% compared with the same period a year ago. Improving domestic demand also contributed, albeit on a smaller scale.

Now with numbers: the economy grows more than expected because of the contribution to growth from net external demand on the Portuguese economy increased of 0.4 percentage points to 1.3 percentage points. This means that exports have increased sharply, more than the imports.

Even from quarter to quarter, highlighted by a sharp fall in the contribution of domestic demand, which goes from a positive value, by 0.4 percentage points, to a sharp fall, of 0.6 percentage points. Moreover, the domestic demand only gave a help to the growth on the previous year and was short of just 0.1 percentage points.

This means that domestic demand may be slightly better than a year ago, but began to fall and is at a level worse than the last few quarters. This is due to the fall of investment and of public consumption. The investment has been record numbers of weak throughout the year and now, with a brake on public consumption, which must grow at the end of the year for the Government to meet the goal of deficit can worsen even more the numbers of domestic demand.

The domestic demand not only fell over because the consumption expenditure of households continued to increase, consumption, which should accelerate in the latter part of the year with the arrival of the holiday season, and with the families they have in their hands the most income (payment of grants christmas).

Sale of F-16 aircraft to Romania without impact on the GDP

Came to be a subject of exchange of accusations between the opposition and the Government (and the HP), but the INE stops a clarification now. The sale of military aircraft to Romania, which was already expected to happen this year, it will have an almost null impact on GDP.

This happens because, despite counting as exports, the sale of the aircraft, it also counts as real, that is, has a null impact under the heading of investment, which in turn takes the GDP what the export gives. The rules of european statistics impose that this may be so because at the time that the aircraft were purchased abroad were also registered as import and investment. If it is almost null when they arrived, also the is when they go though.

The rules for registering in the national accounts this type of investment are determined at the european level, with the participation of Portugal. Due to the material the military has already been made several changes to the rules, especially in the form of accounting the deficit.


Consumer confidence improved by 3.No. month – Diário de Notícias – Lisbon

The economic climate indicator (calculated through surveys of businesses from various sectors of activity), in turn, worsened in November

The indicator of consumer confidence improved in November for the third consecutive month and the economic climate declined in October and November, according to data today released by the National Institute of Statistics (INE).

according To the INE, the indicator of consumer confidence (calculated through surveys of consumers improved in November, reaching the fell 10.5 points, down 11.6 points in October, -12,4 points in September and -13,3 points in August).

“The recovery of the indicator of consumer confidence in November was due to the positive contribution of the perspectives regarding the evolution of unemployment, the expectations concerning the economic situation of the country and, less intensely, of the judgements of the evolution of the financial situation of the household”, says the INE.

The economic climate indicator (calculated through surveys of businesses from various sectors of activity), in turn, worsened in November to 1.2 points (to 1.3 points in October and by 1.4 points in September).

According to the INE, in November, the sector level, the indicator decreased trust in the construction and public works, commerce and services and increased in manufacturing industry.

The confidence indicators of the INE are calculated using moving averages of three months ‘ balances extremes in surveys. A negative number means that there were more answers to be pessimistic than optimistic.


The OE is solved, but the war of the CGD continues – Daily News – Lisbon

The conflict around the public bank will continue in plenary in the beginning of December, and in the parliamentary commission of inquiry, which has been suspended will resume

Approved, without surprises, the State Budget (OE) for 2017, now with most of the left reinforced at the most a deputy (to the PS, the BE, PCP and PEV joined–if this time the of the PAN), the Parliament prepares to continue the seattle that have more passionate members in the recent times, the only so-called “cgd”.

Already on the 6th of December, in the plenary, discuss new projects in the PSD on the duties of transparency to the administrators of the General Box of Deposits and of the amendment to the Statute of the Public Manager (which administrators of public bank have been removed by a decree of the government). And then, probably in early January – if not before -will be reactivated the parliamentary commission of inquiry to the CGD. Much has passed since their works were suspended (on 3 November): António Domingues and several administrators resigned; before you had that Domingues negociara in the EU the recapitalisation plan, even though it was still the vice-president of BPI, and probably up to the committee again meet to know will be who will be the new team leader of the public bank (António Costa has promised that in this week to submit for the visa prior in Brussels). No one will wonder if the PSD you want to listen to it again Domingues or the minister of Finance, Mári o Centeno, or the secretary of State at the epicenter of this hurricane, Ricardo Mourinho Félix.

THE CGD was the central theme of the intervention end of the PSD in yesterday’s debate of the OE 2017. José Matos Correia said that the whole case on the public bank “will be in the annals of history as a case study of incompetence”. After stating that, in this case, “guilt is too much to die unmarried”, he concluded: “Someone has to take political responsibilities.”

The government and the PS responded by saying, for example, by João Paulo Correia (mr), which is in fact the PSD and the CDS “are against the recapitalisation of the public,” the public bank, and only the “want to privatize the Box.” But – he added – “not only missed this goal as watched casually the collapse of BES and Banif and they hid the new need for recapitalisation of the Box”.

Pedro Nuno Santos, secretary of States for Parliamentary Affairs, acknowledged that “the management process of the recapitalisation of the Box is not an easy process”, which “is complex and is not free of moments less good”. “Maybe – alvitrou – this explain why it is that the recapitalisation of CGD has not been made in due accordance with the requirements of the capitalization of the CGD needed while the PSD ruled Portugal.” Accusing the former executive of “push with the belly” and stressing that “PS has encountered a banking system that has not had the response that should have been” in the past, Pedro Nuno Santos called on the PSD to approve the standard of OE that will allow the government to indebt itself in 2.7 billion euros in 2017 in order to recapitalize the bank (the standard has been approved but the PSD voted against).

Rating in the “review”

The crisis policy at the bank of the State was reflected yesterday in a note from the DBRS. The rating agency decided to put in “review” the current rating given to CGD, a revision of the “negative sense” and that you may end up with a cut on the note assigned to the bank the public to levels of speculative – the rating given by DBRS to the Box is now at BBB-, the lowest level before the label of “speculative”.

“The revision in rating reflects the increased risks that the Group [CGD] faces in relation to the issues of the governance of the company, the recapitalization plan and the difficulties of the group in the best profitability and the quality of their assets,” he explained to the agency the canadian. Second added, the reevaluation to the rating of CGD, which can take up to three months, you will study what impact the recent resignation of a majority of the directors” of a public bank in the restructuring plan, but also “delays” that this new step behind in the dossier may imply at the level of implementation of the reinforcement plan of the capital.

“Despite the Group being in the process of a recapitalisation significant, which will strengthen its balance sheet, this re-evaluation will consider the delays that are the checking in process and what are the risks of running that can bring the same”, warned the agency. Thus, “as a result, DBRS estimates that the CGD go get toned to the level of capital for a longer time than initially expected”. To the agency of the canadian, the recapitalization is an “essential operation”. As recalls, the plan includes an injection of 2.7 billion of the State, the transfer of 500 million shares of ParCaixa and the conversion into capital of 900 million euros in convertible bonds subscribed by the State. The strengthening of capital will also by emissions of up to a thousand million in instruments to be subscribed by private entities.

With Filipe Cardoso


Tuesday, November 29, 2016

What proposals has the hospitality to the local accommodation? – Jornal de Negócios – Portugal

For this reason, and to counteract visions “that the practice on” in local accommodation, the association presents a proposal for adjustments in the regulatory in the sector. The guarantee is that there are almost 40% more units to work than those on the National Register of Local Accommodation.

Distinguish between temporary and permanent accommodation

In the first category would be covered the units with occupancy up to 60 days per year, requiring a minimum stay of five days for guests. In this case it would be applicable to the license housing and the waiver of authorization from the property owners.

In the case of permanent accommodation, would be required a specific license or requested a change to the use of the space. The hotel asks to be done, an adjustment of per thousand of the IMI if the Instrument of Territorial Management the allow and exist the authorization of the condominium.

to Distinguish between the accommodation chamber and apartments

The hotel management wants the accommodation for the collective – which include hostels or lodging establishments – to be distinguished from the apartments and the villas. The first should come out of the category of local accommodation, and enter in the cast of the tourist resorts.

In the case of the accommodation is unique, the suggestion is for a maximum of nine units of accommodation location for the building. The villas should have a maximum of nine rooms and 30 users.

Prohibit that fractions leased to housing can function as local accommodation facilities

in This way, a step towards achieving a greater balance between the number of dwellings and units of local accommodation available, respecting the use for which it was licensed the space, believes the AHP.

re-introduce the requirements of safety and operation apply to the accommodation location

The hospitality industry that want to the requirements, eliminated in 2014 at the time of the revision of the law regulating local accommodation, return to be in effect. Are requests still requirements more strong for the activity of the hostels.

periodically Report to the National Institute of Statistics and the Tourism of Portugal

THE AHP believes that these data about the occupancy of local accommodation facilities could be used after by the local authorities to set quotas for this activity.

Identify all the local accommodation facilities

THE AHP asks, in addition to greater oversight of the ASAE, which is mandatory for the fixing of the nameplate in all of the local accommodation facilities. The association considers that the framework of sanctions is appropriate, with fines “heavy”.


DBRS places the rating of CGD under negative perspective – the Public.en

The agency the canadian DBRS (which has been responsible for maintaining the Portuguese public debt in the program of purchase of assets of the European Central Bank) has placed the debt of Caixa Geral de Depósitos under review with negative outlook, following the departure of António Domingues and a good part of the management team of public bank.

The review, explains a news release from the agency, reflects "the increased risk that the group is facing" in regards to matters of corporate governance, the problems of the recapitalisation planned, and are still "ongoing difficulties in improving the profitability and quality of assets". The press release specifies that the review "will consider how the recent resignation, the 27 of November, of a majority of the board of directors will affect the restructuring planned of the group". In addition, the DBRS shows concerns over "delays" in the execution of the recapitalisation plan.

the recapitalisation of The box passes by a capital increase of 5160 million euros, which has already been approved by the european authorities. Of this amount, 2700 millions are an injection of public money, 500 million will come from the ParCaixa (a public company, management of capital), and 960 million of instruments of contingent capital subscribed by the State. To that the recapitalization complies with the rules of Brussels have yet to the emission of 1000 million euros of debt, which will need to be purchased by private investors.

under the review, which will have a maximum duration of three months, will be reviewed 12 financial instruments of the Box and the rating of the global group, currently at BBB(low), also may undergo changes. If there is a descent of this note, the public bank will not be considered by the agency as worthy of investment, a category that is often known as “garbage”.

The output of António Domingues has been communicated by the Government on Sunday night, leaving the executive to search for a solution (which must be approved by the European Central Bank), after months of deadlock on the issue of the presentation of the declarations of income and assets.

prospects for the Portuguese economy also played a role in the decision to put under negative outlook for the ratings of Caixa Geral de Depósitos. "DBRS believes that the CGD continues to have a challenge on the return to sustainable profits, due to a continued deterioration of asset quality and the challenging environment in which it operates, which is characterized by low interest rates, increased regulation and weak economic prospects for Portugal".


Brexit. Dijsselbloem refused London as the financial centre of the euro zone – the Observer

The president of the Eurogroup, Jeroen Dijsselbloem, said on Tuesday that the European Union may not allow the financial centre is outside its territory, if the United Kingdom opt for an output that does not comply with the european rules.

"we can’t allow a third country to have access to and rights 'passport' to the financial services markets in Europe, if you at the same time we allow ourselves to deviate from the bank requirements, rules of consumer protection or whatever," said Dijsselbloem in the Commission of Economic and Financial Affairs of the European Parliament.

Being very frank, we cannot allow the financial centre of the euro zone and Europe is out of this and that take your own path in terms of rules and requirements, we simply can’t let that happen," he said.

Dijsselbloem declared himself a "great admirer" of the United Kingdom and recalled that the Netherlands is one of the main trading partners of the United Kingdom.

The president of the Eurogroup argued that the Brexit will have a negative impact on the british economy and considered that the effects are already in the reflect only the uncertainty about how will be the relations between the country and the European Union.

Dijsselbloem indicated that the option to "favorite" would be that the United Kingdom "to accept fully all the rules and current requirements in force".


DBRS threatens to put “rating” in the Box in the “trash” – Jornal de Negócios – Portugal

The problems of the government of the society after the resignation of a majority of the directors, the major risks arising from the recapitalisation plan and the difficulty in improving the profitability and quality of assets led to DBRS put the “rating” Box under review with negative implications.

THE DBRS evaluates currently the public bank at BBB (low), one level above the category view as “garbage” by the markets. If this trial period, which can last up to three months, resulting in a decline in the debt of Caixa Geral de Depósitos passes the level of speculative. The agency of the canadian, the only one of the largest that evaluates to Portugal and also to the public bank in investment-grade, said that will be particularly attentive to the “how will the resignation of the majority of the members of the administration to 27 November will affect the restructuring of the group”.

Maria Rivas, the analyst of the agency responsible for the report, still shows concern with the delay in the process of recapitalisation. “Despite the group being in a process of recapitalization that would strengthen its balance sheet, have been taken into account for this review period, the delays and the risk of running in this process”, refers to the note of the DBRS. “As a result, DBRS expects that the group is weakly capitalized by a greater period than initially planned”.

in addition, the resignation of the directors of António Domingues places, according to the DRBS, “additional challenges for the group to return to profitability, reduce the problems in the quality of assets and improve the confidence of investors”. The agency of canada states that the Government will continue to support the bank, if necessary. But caveat that it sees as less likely that this support remains unconditional if the group needs to strengthen its capital position in the medium term”.

to Place subordinated debt is essential for the “rating”

The agency explains that this assessment process may last up to three months. During this period, the DBRS says that it will focus “on the process of recapitalization, including the placement of instruments subordinated debt with private investors, as well as the problems of corporate governance and the challenges of asset quality and profitability.

In connection with the issuance of subordinated debt outlook DBRS are not encouraging. “We see the placement successful instruments in the market as a challenge given the current volatility in the global financial and the very limited access of the GBD to the funding markets”.

Thus, a rise in the “rating” is something that the DBRS sees as “unlikely in the short to medium term given the period of review.” If the evaluation process results in a descent of the “rating” Box will no longer have credit ratings of investment grade to agencies that are considered by the ECB. The S&P has a rating of BB+ (one level below investment grade). Fitch BB- (three levels below investment grade) and Moody’s to B1 (four levels below investment level).

(News updated at 18:22 with more information)


London as the financial centre of the euro zone? Non – Observer

The president of the Eurogroup, Jeroen Dijsselbloem, said on Tuesday that the European Union may not allow the financial centre is outside its territory, if the United Kingdom opt for an output that does not comply with the european rules.

"we can’t allow a third country to have access to and rights 'passport' to the financial services markets in Europe, if you at the same time we allow ourselves to deviate from the bank requirements, rules of consumer protection or whatever," said Dijsselbloem in the Commission of Economic and Financial Affairs of the European Parliament.

Being very frank, we cannot allow the financial centre of the euro zone and Europe is out of this and that take your own path in terms of rules and requirements, we simply can’t let that happen," he said.

Dijsselbloem declared himself a "great admirer" of the United Kingdom and recalled that the Netherlands is one of the main trading partners of the United Kingdom.

The president of the Eurogroup argued that the Brexit will have a negative impact on the british economy and considered that the effects are already in the reflect only the uncertainty about how will be the relations between the country and the European Union.

Dijsselbloem indicated that the option to "favorite" would be that the United Kingdom "to accept fully all the rules and current requirements in force".


Retirement age will increase two months until 2018 – the Express

The average life expectancy increases, the retirement age also: this is the rule. In 2017, the retirement age will increase by one month, and in the following year also, according to the data of the average life expectancy at 65 years released this Monday by the National Statistics Institute. This way, in 2018, the retirement age will be in the 66 years and four months. The news is advanced the "Morning Mail" this Tuesday.

Who retire in advance in 2017 will suffer a penalty of 13,88%, through the update of the sustainability factor – which corresponds to an aggravation of 0.54% compared to 2016, due to the increase in average life expectancy. In addition to this penalty of 13,88%, those who retire early still has an increase of 0.5% for each month of anticipation.

However, the minister of Social Security, Vieira da Silva, has come to the public to announce that it will review the formula for the calculation of the "sustainability factor", compounded by the Government of Passos Coelho. For the economist of the CGTP Eugénio Rosa, the Government should take advantage of the review to correct the “injustice, the penalty that may result from the application of the factor does not take into account the age of the contributor, which creates inequalities", said the newspaper.


What separates the contracts of Benfica and Sporting clube de portugal with the IN – Record

Benfica contested the amounts received by the Sporting in the contract concluded with the US in a registered letter sent to the service provider. The club of the Light means that 515 million announced by the great rival to place more value on the tv rights leoninos, and they showed displeasure to the administration led by Miguel Almeida. Record here the parameters and values involved in the contracts of the two giants-the people of lisbon and of Porto, in the latter case with the MEO.


Monday, November 28, 2016

“There are concerns regarding the sustainability of the public debt of Greece” – Diário de Notícias – Lisbon

the President of the ECB says that Greece must find a lasting solution that guarantees the sustainability of the debt

The president of the European Central Bank (ECB) said on Monday that there are “serious concerns” about the sustainability of Greek public debt, and has expressed the hope that the country and its creditors to find a long-term solution.

“in The light of the talks between the participants in the adjustment programme the Greek it is clear that there are serious concerns as to the sustainability of the public debt of Greece,” said Draghi in the Commission of Economic Affairs of the European Parliament.

The president of the ECB considered that “it is in the interest of the euro zone and Greece to find a lasting solution that guarantees the sustainability of the debt in the short and long term.”

in This sense, he assured that “the best that could occur now is that if you successfully complete the (second) evaluation on the compliance of the conditions associated with the third financial rescue of the country.

“The Greek people have made great progress in the last few months and it is very important that this not be undone,” said the leader of the ECB, one of the institutions (the European Commission, the European Stability Mechanism and the International Monetary Fund), which oversee the performance of the country.

Draghi said he hoped that at the next meeting of the ministers of Economy and Finance of the euro zone, the December 5, if you reach an agreement on the measures of debt relief in the short-term proposals in the last meeting of the Eurogroup.

“we Hope to (find) a solution to restore confidence in debt sustainability and address the major risks to the program,” he added, quoted by Efe.

In the European Parliament, Draghi also said that in December the ECB will assess the alternatives available to maintain the monetary stimulus and ensured that the institution counts with tools to face the scarcity of securities.

“In our meeting of the monetary policy of December, we will review the various options that may enable the Council of Governors to maintain the level of substantial monetary policy accommodative necessary to bring the inflation goal of 2%,” said Draghi.


Pharol now only expects to recover 9,56% of the investment in Rio Forte – Jornal de Negócios – Portugal

The Pharol already only expect to recover less than 10% of the investment of 897 million euros made by the old PT in Rio Forte. In total, according to the estimates presented by the company led by Luís Palha da Silva, the company calculates reaver 9,56% of the investment made, that is, 85,75 million euros.

The previous forecasts and the company projected a recovery of 15% of the value. The downward revision forced now to register a loss of 48.8 million euros in the accounts of the third quarter by the value that already do not expect to receive the financial application is made on the debt of the company of the Espirito Santo Group.

“In the sequence of statements of the Judicial Administrators, who reported in their last press release that it cannot be excluded that the seizure of the goods required by the Public Prosecutor to prevent prolonged, or even definitely, your recovery and distribution to creditors, the amount of the expected recovery of the debt instrument River Fort was revised and reduced to 9,56% of the nominal value,” reads the announcement.

The recognition was made in September, after the administrators of insolvency have recognized that the goods attached to the Espírito Santo International and Rioforte, in the framework of the judicial investigations underway, including Portugal, may never return to the companies in the group the Holy Spirit, there is a risk of not being used in payment to the creditors of these companies.

The negative impact of the reduction of the expectation of recovery is also reflected in the numbers obtained for the net income up to September, which was a negative 56.1 million euros, still less than half of the losses recorded in the first nine months of last year to 137 million euros.

In virtue of the investment made in the company before the collapse of the universe, the Holy Spirit, the debt instruments of the River Fort have been concentrated in the Pharol and the company that resulted from the old PT now holds a purchase option on the shares of the brazilian Oi.

In January the Pharol decided to prosecute three ex-directors of PT, Zeinal Bava, Henrique Granadeiro and Pacheco de Melo, for not having taken to the board of directors the realization of applications in debt instruments of the GES, the processes valued at € 54.9 million. Already the auditors Deloitte, the company requests a compensation corresponding to the difference between the 897 million invested and the value that the Pharol be able to receive in the context of the insolvency of the Rioforte.

In September the Pharol agreed to pay a fine in the amount of 1.25 million dollars, applied by the regulator of the north-american Securities and Exchange Commission (SEC) because of to the faults detected in the disclosure of information relating to the exposure of the telecommunications company to GES.

applications of PT in the universe the Holy Spirit date back to 2001 but is in the end of June 2014, the two months of the collapse of BES, that it is known that the exposure of 897 million euros, after that year have been given an order to transfer the applications in the ES International for commercial paper of Rioforte. This vehicle GES would later go into default.

The actions of the Pharol ended the day falling by 1.1% to 0,179 euro.

(News updated at 18:51 with more information)


Loss of the Pharol improve to 56.1 million – the Observer

In the first nine months of 2015, the Pharol, which is the shareholder of reference of the brazilian operator Oi, in the process of recovery), recorded a loss of 137.3 million euros.

In a statement sent to comissão do mercado de Valores Mobiliários (CMVM), the Pharol explained that the loss reflected mainly a loss of 48.8 million euros, as a result of a downward revision of the recovery value of the debt instrument Rioforte", as well as "a loss of five million euros related to the depreciation of the option to purchase".

The result of the first nine months of this year was still influenced by the "operating costs consolidated income statement 6.1 million euros" and the "net gain of 4.9 million euros resulting from the reversal of the impairment recorded on the investment in Oi, in the amount of 225,6 million euros, that more than compensated for the appropriation of the accumulated losses of the Oi" until September in the amount of 220 million euros.

In the same period, the result before taxes, interest, depreciation, and amortization (EBITDA) was negative in six million euros, an improvement compared to 16.9 million euros a year earlier.

"This reduction is explained by high reduction of third party services relating to consulting and legal advice" and "lower personnel costs and lower indirect taxes".

staff costs amounted to 1.6 million euro, a reduction compared to € 2.7 million recorded between January and September 2015.

The Pharol said that, "following the statements of the judicial administrators, who reported in their last press release that it cannot be excluded that the seizure of the goods required by the Public Prosecutor to prevent prolonged, or even definitely, your recovery and distribution to creditors, the amount of the expected recovery of the debt instrument Rioforte was revised and reduced to 9,56% of their nominal value".

Confronted with exogenous factors of high impact on your income statement and your balance sheet – that, in the third quarter, the impairment recorded in the credit about the Rioforte is an example, Pharol is still strongly committed to reducing the risks of change in the value of its assets and in control very strictly their operating costs," said the president of the Pharol, Luís Palha da Silva, quoted in a statement.

"In Oi, the Pharol will continue to give your cooperation for the process of judicial recovery is a success, catering to the interests of all different stakeholders [involved parties] in the presence", he added.


Ex-director of Social Security held in fraud of 15 million taken by the PJ News Journal

Antonio Soares

Two lawyers, among them an ex-director of Social Security of Braga, are among the eight detainees of a large operation of the judicial police in Braga, on suspicion of tax fraud. One of the lawyers was taken after the searches.

One of the detainees is the lawyer Fernando Costa Salgado, the former head of the delegation of Braga of the Institute of Financial Management of Social Security, university professor and former head of the Municipal PS de Famalicão. Also detained in the operation was the attorney for Ernesto Salgado.

The search in the office of Coast Salt ended about 16 hours, with the lawyer to leave the building in a car of the Judicial Police.

On Monday morning, the PJ has about a hundred searches, at various points of the country, including the islands, in an investigation that points to a fraud on the order of 15 million euros.

There is suspicion of crimes of criminal association, tax fraud qualified fraud tax against Social Security fraud qualified, insolvency, misconduct, corruption, and money laundering.

“Until this moment we have already calculated the losses to the State in VAT, tax and Social Security contributions, estimated at over 15 million euros,” said a statement from PJ.

THE PJ has confirmed that have been met eight arrest warrants in an operation that involves elements of the Judicial Police of the Boards of the North and Centre of the departments of Funchal, Leiria and Vila Real, in addition to the revenue Authority and Finance.

The detainees are seven men and one woman, including two lawyers, three accountants, two businessmen and an employee of the office. Were still constituted charged about 20 persons, natural and legal.

Fernando Costa, the Salt had already been sentenced in 2011 to four years in prison effective, for the crime of embezzlement, diversion of 187 thousand euros, that would be destined to the payment of a debt owed to Social Security. This process is still in appeal in the Constitutional Court.


OECD doubts deficit below 2.1% of GDP in 2017 and asks for expenditure reforms – The Ball

Augusto Inácio is the new coach – The Hull announced on Monday the hiring of Augusto Inácio to the coach role. at The age of 61 years, Ignatius is back to coach the team from Moreira de Conegos, who supervised part of the season 2012/2013. In a statement, stresses that the trainer “fills the profile defined by the administration of the SAD Moreirense FC, has absolute confidence to the performance of the functions of a technical lead in this project”. Augusto Inácio will be presented Tuesday, at 12 o’clock, in the auditorium of the Stadium Joaquim de Almeida Freitas. The current technical team, composed by Leandro Mendes, Sérgio Ferreira, Nuno Costa, João Ricardo and Pedro Azevedo, continues in office.


Electric cars pass the pay to supply News Journal

Carla Sofia Light

The electric cars will no longer supply free in 2017 in the charging points on the public highway across the country.

the Ministry of The Environment predicts that the bill to proceed until the end of the first half of next year, leaving the State to bear the electricity of those who are charging the battery of the car in the streets. Until today, the public network is managed by society Mobi.and have already volunteered to 1.2 gigawatts-enough to go to 7.2 million kilometers.

Read more on the editing and-paper or in the print edition.


5 things you need to know to start your day – Jornal de Negócios – Portugal

the OECD presents Economic Outlook

The Organization for Economic Cooperation and Development (OECD) presents this morning in Paris, at 10:00 in Mainland Portugal, the diagnosis, the global economic. In September, in outlook merge, the entity pointed to a slowdown in the world economy due to the slow growth of trade and the distortions in the financial in the financial system, predicting that the economy grew at a slower pace in 2016, and with a modest recovery in the next year. The data should already incorporate the policy changes that have taken place, with the election of Donald Trump – a candidate with ideas protectionist – to the White House.

the Treasury announces the result of the issuance of OTRV

The agency that manages the sovereign debt announces the result of the issuance of Treasury Bonds Income bonds (OTRV) with repayment in November 2021. The issue, initially of 500 million euros, has been increased to 18 November to 1,500 million, with the term of the subscription finished on Friday. If the amount available is insufficient to ensure allocation to subscribers – due to the expected high demand of the retail customers -will require that there is apportionment. The value obtained has helped the State to reimburse two billion euros to the International Monetary Fund.

Draghi is accountable to the parliament,

The president of the European Central Bank will return to the European Parliament. Little more than a week of the last meeting of the year of the monetary authority of the euro zone, Mario Draghi will be heard by meps not only about monetary policy decisions as also by the economic and financial developments in post-Brexit, in addition to analysing financial stability. With the start scheduled for 14:00, Uk time, will be the first meeting with the deputies after the election of Donald Trump for president of the USA, and less than a week of the constitutional referendum in Italy, events that have influenced the markets in recent days.

Meeting in the week decisive for the OPEC

The absence of Saudi Arabia, the largest oil producer of the OPEC meeting scheduled for today between the cartel and the producers of out of this community should mark the session in the energy markets. Riyadh wants to first reach an understanding within the organization (where Iraq and Iran continue to resist compromise with cuts in production) before moving on to negotiations with other producers and trying to close a deal on Wednesday to limit global production of black gold. Last Friday, in reaction to the absence of Saudi Arabia, the price of oil closed at a fall of almost 4%.

Scholarships in the us: and after records?

The equity markets on the other side of the Atlantic will return to the negotiations on Monday after two days of weak transactions. On Thursday the stock exchanges of the north-american closed for the holiday of Thanksgiving Day and one day after the reopening, but the half-gas, with a session reduced to half of the trading hours but to renew historical records. Today, on “Cyber Monday” – the day on which the consumers give the kick-off for the electronic purchases the purpose of Christmas – the eyes will be posts in firms and consumption in the technology.

Monetary Base of the euro zone has high annual 4.4% in October – the State of Minas

Frankfurt, 28 – The monetary base (M3) of the euro area, a broad measure of the money available in the block, has risen to 4.4% in October before same month last year, according to data published today by the European Central Bank (ECB). The result came below the expectation of analysts polled by The Wall Street Journal, which predicted high of 4.9%.In the moving average from three months to October, the money supply recorded a increase of 4.8%, also short of the projection of the market, of 5%.

The granting of loans to enterprises, in turn, grew 2.1% in annual comparison in October, after advancing 2% in September. Already the loans to households went up by 1.8%, matching the September result. Source: Dow Jones Newswires.


Companies with the smoothest transition in the losses tax – Jornal de Negócios – Portugal

Business offers this space for comment, reflection and debate, and calls on readers to respect its editorial charter, to promote constructive discussion and fight the insult. The Business reserves the right to edit, delete, or even modify the comments of your readers if they are against the good sense and seriousness.The access to all the features of the comments is limited to players registered and Subscribers.

comments are open to all readers, but have access to features differentiated:

1. Readers not registered: are identified as non-registered users only can write comments up to 300 characters, you do not have access to comment on other comments and his comments only appear to last at least an hour, passing by a prior assessment, and after publication may not be voted on.

2. Readers registered: you do not need to fill anything, the comment is published immediately, it can be voted on and the reader can comment on other comments. Whenever your comment gets a response from other users will be notified by e-mail.