Until 2015, the Government is planning to do €10.8 Bn cut in public expenditure. This reduction has no precedents.
Most of the adjustment will be done in 2012 and 2013, with total measures reaching €8.2 Bn. However, the largest share of the custs is not only in the "fat" of the public machine. Families and corporates will be paying the large part of the deficit reduction. Out of the total cuts, €4.9 Bn of 2012 are related to salaries, pensions and social benefits. In 2013, out of the €3.3 Bn in cuts, €2.0 Bn will be paid by companies and corporates and a lesser portion of €3.3 Bn by the government.
Sourced from: Diário Económico
