News Summary: IMF says Portugal needs debt effort

IMF TAKE: Portugal's financial recovery program is entering a risky phase as it struggles to cut its heavy debt load amid a continuing recession, growing unemployment and mounting opposition to austerity measures.

GOOD NEWS: government's debt-reduction measures have helped allay market concerns about lending money to the ailing country, while it has made good on promises of reforms in return for last year's (EURO)78 billion ($100 billion) bailout.

BAD NEWS: "risks to the attainment of the program's objectives have increased markedly," the IMF said, adding that Portugal will need to take further steps to remain on track.