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Pedro Manuel Mamede Passos Coelho

Leftist alliance moves closer to power in Portugal

Portugal's Communist Party announced Friday it has reached an agreement to back its Socialist Party ally, paving the way for a possible ouster of the country's new center-right government.

The deal came after an earlier agreement between the moderate, mainstream Socialists and the radical Left Bloc.

Together the three parties have 122 seats in the 230-seat Parliament, outnumbering the government, and have vowed to reject the government's four-year policy program in a vote next week.

Such a defeat would force the government, which took office on Oct. 30, to resign, possibly opening the door for the unprecedented leftist alliance to take over. However, changes in...