8. Success

This chapter describes the final steps taken to ensure full bond market access. Portugal organized the first Portuguese auction process for medium to long term bonds since requesting the Troika’s assistance. In May 2014, Portugal exited the Troika program with no need for further assistance. It did not ask for the last disbursement from the Troika. Market conditions for Portuguese bonds continued to improve. A USD transaction was executed that helped to reinforce Portugal’s cash buffer. Our description of the Portuguese economic adjustment with a strong contribution from exports became widespread. We managed to attract several different investors to our markets. They have sustained us throughout. I discuss what could have been the alternative if Portugal would have had to request continued support from Europe. This alternative would have been costlier for the Portuguese population and put the nascent economic recovery at risk. The Portuguese public opinion was conscious of the value of market access and it became consensual across party lines. It had been crucial to gain access to a diversified investor base and maintain a constant and credible dialogue with investors both directly and through the press. It was key to keep actions predictable when dealing with investors in the markets.