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Bank of Portugal: Any bail-out package could not be signed by a caretaker prime minister (Photo: Pieter Musterd)

Portuguese caretaker PM could not sign up to bail-out

Engulfed in problems, Portugal's government could fall just one day ahead of a crucial European summit where the bloc's leaders are set to put the finishing touches on a grand 'comprehensive response' to the eurozone crisis.

Analysts warn however that should Prime Minister Jose Socrates step down, a caretaker administration would not have the political legitimacy to sign up to any EU-IMF bail-out should one be forced on the country.

In a political world turned upside down, the cou...

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Bank of Portugal: Any bail-out package could not be signed by a caretaker prime minister (Photo: Pieter Musterd)

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