Lisbon - The socialist Prime Minister of Portugal, Mr Antonio Guterres, resigned yesterday and paved the way for a general election early next year after a huge defeat by the opposition centre-right Social Democrats in local elections. President Jorge Sampaio accepted the resignation after a 40-minute meeting with Mr Guterres.
Mr Guterres had been sagging in polls after six years in power as economic growth slowed in one of the EU's poorest countries. A date has yet to be fixed for the general election.