Irish, Greek, Portugese debts ‘bigger than predicted’
The European Union has said the debt loads of Greece, Ireland and Portugal will be much bigger than previously forecast, adding to fears that international bailouts are failing to solve the region's crisis.
In its biannual economic forecast, the EU said Greece's debt will reach 157.7pc of economic output this year and jump to 166.1pc in 2012. That is up from 150.2pc and 156pc forecast last autumn.
Ireland's debt is expected to hit 112pc of gross domestic product this year before rising to 117.9pc in 2012. That is up from earlier forecasts of 107pc and 114.3pc respectively.
Portugal's debt will likely stand at 101.7pc of GDP in 2011 and increase to 107.4pc next year. That is up from 88.8pc and 92.4pc previously.