(LISBON, Portugal) -- The prime minister of Portugal, Jose Socrates, resigned Wednesday. His decision to step down comes after failed attempts by his minority government to gather support from opposing parties for an austerity budget, The Wall Street Journal reports.
The proposed budget included spending cuts and an increase in taxes. Parliament's rejection of the budget is likely to lead the country to seek a bailout package.
Socrates has said before that he would not continue in his post if parliament did not accept the budget.
According to The Wall Street Journal, the financially strapped country is looking at $5.96 billion in debt repayments next month.
Socrates said in a televised address a bailout could be worse for Portugal.
"Those who imagine an external aid package won't include more demanding measures, measures that are worse for us, are completely fooled," he said.
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