XVIII Constitutional Government of Portugal

In 2008–09, with the Great Recession starting to hit Portugal and facing recession and high unemployment,[2] austerity was waned as part of the European economic stimulus plan.[3] Nevertheless, support for Sócrates and the Socialists eroded and the ruling party lost its majority in the 2009 election.[2] The second government of José Sócrates faced a deterioration of the economic and financial state of the country, with skyrocketing deficit and growing debt.[2] Austerity was resumed in 2010 while the country entered a hard financial crisis in the context of the European debt crisis.[4]

On 23 March 2011, Sócrates submitted his resignation to President Aníbal Cavaco Silva after the Parliament rejected a new austerity package (the fourth in a year), leading to the 2011 snap election. Financial status of the country deteriorated and on 6 April Sócrates caretaker government requested a bail-out program which was conceded. The €78 billion IMF/European Union bailout to Portugal thus started and would last until May 2014. Sócrates lost the snap election held on 5 June 2011 and resigned as Secretary-General of the Socialist Party.[5] For most of his political career, Sócrates was associated to several corruption cases, notably Independente University and Freeport cases.[6]