Portuguese president hopes for more economic growth in 2017

Portuguese President Marcelo Rebelo de Sousa said he hoped for more economic growth in 2017, in his speech to mark New Year's Day on Sunday at the presidential palace in Lisbon.

He said the country has taken "small steps" but much was still left to do.

"2016 was a year of immediate management, of political stabilisation and concern with financial rigour," he said. "2017 has to be a year of long-term management and of defining and executing a sustained economic growth strategy."

He added that the country had learnt that by working together success was possible and said that it was undeniable that there was now social and political stability.

He pointed to the country's agreement to raise the national minimum wage, the European Union accepting the country's state budget, the implementation of international commitments, the reinforcement of the banking system and compensation to people hit by the crisis.

"We have taken small steps, as small as they might be, to correct injustices and to create a less tense, less divided and less negative climate here (in the country) and a more confident image internationally," he said.

While pointing to a "positive balance" achieved last year, he said economic growth had been "delayed and insufficient." He also said the public debt was still too high and the justice system too slow.

Portugal's state budget for 2017 forecasts economic growth of 1.5 percent and a budget deficit of 1.6 percent of the gross domestic product (GDP). It also forecasts an inflation of 1.5 percent and unemployment to decrease to 10.3 percent.

Portugal has one of the European Union's highest government debt levels, which currently stands at around 130 percent of GDP. Endit