Portugese government sworn in

Portugal's new Prime Minister Durao Barroso

LISBON, Portugal -- Portugal's new centre-right government has been officially sworn in on a promise to revive the economy by cutting corporate taxes and the government deficit.

Prime Minister Jose Durao Barroso holds a slim majority of support in the 230-seat parliament after elections last month.

His Social Democratic Party has 105 legislators and the 14 seats of the allied conservative Popular Party.

Durao Barroso, 45, made turning around the country's economic problems the central theme in his election campaign.

He promised to cut corporate taxes from 30 percent to 20 percent, privatise state-owned companies and hand some state health care responsibilities to the private sector.

The Social Democrats narrowly ousted the incumbent Socialist party by 40.12 percent of the votes compared to 37.85 percent -- returning to power after a six year absence.

Portas, centre, flanked by Cruz, left, and Leite, right

Paulo Portas, the Popular Party leader who become Portugal's new defence minister, has had a prickly relationship with the Social Democrats.

He was a sharp critic of Social Democrat Prime Minister Anibal Cavaco Silva in the early 1990s while editor of the Independente newspaper.

Senior government posts also went to Antonio Martins da Cruz, who becomes foreign minister, and Manuela Ferreira Leite, who takes over finance.