Updated from 5:10 a.m. EST

LISBON, Portugal (

TheStreet

) -- Portugal said Friday a report that it is under pressure to seek a bailout is false,

Reuters

reports.

"This news article is completely false, it has no foundation," said a government spokesman,

Reuters

reports.

The

Financial Times Deutschland

reported eurozone countries and the European Central Bank were urging Portugal to follow Ireland and Greece and seek aid from the European Union and International Monetary Fund.

Portugal's Prime Minister Jose Socrates repeatedly has said the country is not intending to seek a bailout like Ireland and Greece,

Reuters

notes.

Portugal's Parliament on Friday approved a plan to hike taxes and cut salaries and welfare benefits next year in a bid to reverse waning market confidence in its public finances.

Portugal insists it won't need financial rescue, saying the austerity measures will restore fiscal health.

-- Written by Joseph Woelfel

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