Portugal official says government has set no date yet for a formal bailout request

LISBON, Portugal (AP) — The Portuguese government says it doesn’t know yet when it will send its formal request for a bailout to European authorities.

An official, who spoke in his customary condition of anonymity, told the national news agency Lusa that the government won’t request the financial help until it has discussed the terms of a bailout with opposition parties.

The official told Lusa on Thursday the government must first determine what guarantees debt-stressed Portugal can offer in return for a financial rescue package.

Portugal announced late Wednesday it is following Greece and Ireland in asking for outside financial help to deal with its debts.

THIS IS A BREAKING NEWS UPDATE. Check back soon for further information. AP’s earlier story is below.

LISBON, Portugal (AP) — Stocks in Portuguese banks are surging on the Lisbon stock exchange a day after the debt-stressed country said it would ask for a bailout.

Portugal‘s yearlong debt crisis has hurt the banks, which have relied heavily on getting liquidity from the European Central Bank.

The country’s three biggest banks posted gains of more than 5 percent, leading the benchmark PSI-20 index 1.4 percent higher in early trading Thursday.

The government’s announcement late Wednesday that it will ask for a bailout came after bankers warned they could no longer buy Portuguese debt.

Portugal is following Greece and Ireland, other financially troubled eurozone countries, in asking for aid from Europe’s bailout reserve and the International Monetary Fund.

Source: Associated Press