Shift to right in Portugal elections

Barosso blows a kiss to his supporters

LISBON, Portugal -- Portugal's centre-right Social Democrat party is expected to join forces with the smaller Popular Party to form a new government after winning a narrow majority in general elections.

The social democrats, led by the former foreign minister Jose Manuel Durao Barroso, won 40.12 percent of the vote, or 102 seats, during the weekend ballot -- just short of the overall majority needed in the 230-seat parliament, the election board said.

Barroso is expected to overcome party feudings to link with former newspaper editor Paulo Portas and form a new government, The Associated Press news agency reported on Monday.

Portas' Popular Party won 8.75 percent of the vote, or 14 seats.

The Socialists, headed by former public works minister Eduardo Ferro Rodrigues, had 37.85 percent, or 95 seats, while the Communists had 6.97 percent, 12 seats, and the tiny Left Bloc 2.75 percent, three seats.

A final result including overseas ballots, which usually account for four seats, is not due until March 27.

Barroso promised that "a new era" had begun with his party's victory on Sunday.

He said: "I hope it will bring a richer and fairer country," adding that the Socialists had "led Portugal into extreme difficulties."

"I will do everything within my power to offer Portugal a stable and credible government," Barroso, 45, told cheering supporters.

"I hope that all the parties understand the Portuguese want a stable government for the next four years."

Socialist leader Rodriguez is fighting to retain control of the government

It is the first time the Social Democrats have taken the reigns of power in six years, and follows gains made in local elections in December.

Former Prime Minister Antonio Guterres resigned after the election debacle and was forced to remain as caretaker leader until the early general election -- a year ahead of schedule.

Barroso won the weekend ballot on the promise of a "fiscal shock," cutting corporate and income taxes and adopting lower government spending to attract badly needed investment and boost growth in the nation of 10 million people.

Jubilant Social Democratic supporters waving party flags, letting off fireworks, and honking car horns jammed one of Lisbon's main traffic circles.

Portugal lags behind its European neighbours despite receiving billions of dollars in EU aid.

The shift to the right follows a similar pattern in Europe, with Italy and Denmark having elected centre-right parties during the past year.

It was the worst Communist showing in Portugal since a 1974 revolution overthrew a

rightist dictatorship.

The Socialists have promised to act effectively in opposition to prevent welfare cuts after performing better than expected in the elections.

"We lost, but we lost honorably," Rodrigues said.

The turnout was about 60 percent of the country's 8.5 million registered voters.