Good evening,

At the beginning of this New Year, I am addressing all the Portuguese, wherever they may be, my warmest greetings and best wishes for 2009.

I want to start by addressing a special word of solidarity to all those who are in particularly difficult situations, due to their having suffered an unexpected decrease in their income.

To these men and to these women, who suffer in silence, and who until a short while ago never even thought they would arrive at a situation such as they now find themselves, I want to tell them: do not allow yourselves to be dismayed.

I say the same to the young people who, having completed their schooling, are anguished at their inability to find a first job: trust your capabilities, do not loose the will to conquer.

I also want to remember two other groups in our society who are frequently forgotten and that are going through difficult times.

Small traders, who carry out a daily fight for survival. Small businesses must attract special regard since these are the only source of income for many families.

Farmers, people that work the land, who face increases in the prices of fertilizers, rations and other means of production.

They feel penalized when compared with other European farmers since they are not benefiting from the total subsidies made available by the European Union.

The rural world is part of the roots of our collective identity. It is fundamental that it be preserved in order to halt the desertification of the interior and to guarantee the Country’s territorial cohesion.

People of Portugal,

I must not hide that 2009 will be a very difficult year.

I fear unemployment will become worse and an increase to the risks of poverty and social exclusion.
I must tell the truth.

Truth is essential to maintain a climate of trust between the citizens and the governing bodies.

It is through knowing what is real, and not by illusions, that the Portuguese can be mustered to face the demands placed by the future.

The international financial crisis caught the Portuguese economy with several serious weaknesses.

The crisis came about when Portugal had gone through eight consecutive years with a lower average rate of development than that of its European partners.

This truth must be stated: Portugal spends in each year much more than what it produces.

Portugal cannot continue for much longer becoming indebted to foreign countries at a rate equal to that of the last few years.

If anyone still had any doubts, these have been made clear by the financial crisis.

As is well known, when the possibility of indebtedness of a Country becomes exhausted, the only remaining solution is the sale of assets and of national enterprises to foreigners.

The Portuguese must also become conscious that we greatly depend on our external economic relations. These are not just imports and exports of goods.
These are the remittances of our emigrants, tourism, the subsidies of the European Union, foreign investment, the external loans that Portugal has to obtain annually.

Due to all these reasons, it is essential that the credibility of our internal policies, the Country’s future prospects and external confidence are maintained.

Due to all these reasons we must be self demanding and strict, and attend to the image we project worldwide.

If not, everything will become harder.

I will not hide the truth of the difficult situation the Country is going through.

But I equally will not hide my firm and deep conviction that there is a way whereby Portugal can rise out of the economic stagnation in which it has been mired.

The way is narrow, but it is there. Within our reach.

I have repeatedly called attention to it.

The strengthening of the international competitive capability of our enterprises and the investment in export business sectors have to be a strategic priority of our national policies.

Without this, it is pure illusion to believe that there will be real economic and social progress, creation of lasting employment and improvement in the purchasing power of salaries.

Without this, we will not be able to put a stop to the explosive growth of external indebtedness.

Illusions are expensive.

On the other hand, we have to reduce inefficiency in the use of energy and our external dependence on it.

And we also have to change the structure of national production, in the sense of improved quality, innovation and technological content.

Public moneys must be used rigorously and efficiently.

Greater care must be given to the cost/benefit ratio of public services and investments.

In order that our future is improved, in order that our children and grandchildren do not receive too heavy an inheritance, work and determination, sense of responsibility, weighing of decisions and careful choice are demanded from everybody.

We must face the present difficulties looking towards the future, beyond 2009.

People of Portugal,

I am well aware of the challenges Portugal is facing and want to contribute towards the building of a better future.

I have toured the Country widely and often and have contacted directly with the people.

I have tried to muster the Portuguese, appealing for a joining of efforts, inspiring confidence and the will to conquer, pointing out means and opportunities which always exist in times of crisis.

I have insisted that special attention must be given to those citizens who have been more affected by the slowing down of the economy.

I have appealed to the spirit of mutual aid with regard to the least favoured.

Much is being asked from the Portuguese in the year which is now commencing.

But, in the situation that the Country finds itself, special responsibilities impend upon the body politic.

The Portuguese would like to know whether the agenda of the politicians is, in effect, focused towards fighting the crisis.

The difficulties the Country is facing demand that politicians abandon the squabbles that contribute nothing towards the improvement in the lives of those that have lost their employment, those that cannot bear the cost of the payments due on their housing or the education of their children, those that are obliged to seek help for the basic needs of their families.

Unnecessary conflict does not help the resolution of peoples’ problems.

In this stage of the Country’s life we must avoid needless divisions.

We are going to need each other much.

People of Portugal,

We have already been through other very difficult situations. We did not become resigned and we were able to win.

The same will happen now. I have hope and I am saying so sincerely.

Each one must trust his competences, his skills and capabilities.

This is the time when we must withstand difficulties, obstacles, threats with which each one may be faced.

Do not fear.

The future is more than the year ahead of us.

The future will be 2009, but also the years that follow on.

I believe in a better and fairer future for Portugal, because I believe in the will and the determination of our people.

To you all, Best Wishes for 2009.