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Artur Mas, the leader of the Centre-Right Catalan Nationalist Coalition (CiU), and Oriol Junqueras, President of the Left-Wing Catalan Independence Party (ERC), have signed the parliamentary stability agreement, which includes the call for a self-determination vote by citizens and the modification of taxation in order to increase revenue. Mas will be re-elected President of the Catalan Government and the ERC will not sit in the Executive but will offer parliamentary support on the agreed issues. The CiU and the ERC are asking for other parties to add their support to the self-determination vote. In addition, they have stated that the taxes created with the sole aim of collecting more money will be temporary. Despite the electoral mandate, the Spanish Government totally opposes the referendum and is threatening the Catalan Executive with economic asphyxia.

The Spanish Education Minister, José Ignacio Wert, refuses to modify his Education Reform that will relegate the Catalan language in schools and re-centralise power. However, “technical improvements” could be included during the parliamentary debate. The Catalan Government “totally rejects” the current proposal as Wert “has not changed a single comma” despite the talks. Wert, famous for stating two months ago that he wanted “to Hispanicise Catalan pupils”, is pushing for a reform that will break Catalonia’s education model, which has been in place for more than 30 years. The Catalan school model guarantees knowledge of both Spanish and Catalan and it has been praised for fostering bilingualism and social cohesion by international organisations. The reform faces strong objections in Catalonia.

The Centre-Right Catalan Nationalist Coalition (CiU) and the Left-Wing Catalan Independence Party (ERC) have reached a definitive agreement ensuring the next Catalan Government parliamentary stability to approve the main laws. The CiU leader Artur Mas will be re-elected President of the Catalan Government with the ERC’s vote in the Catalan Parliament by the end of the week. However, the ERC will not sit in the Cabinet and will only offer support on the agreed issues. The last point blocking the agreement was the CiU’s refusal to set a specific date for a self-determination referendum. Finally, they have agreed on calling for a citizen vote on Catalonia’s independence from Spain in 2014. However, the CiU has managed to include a clause postponing the voting call if both parties explicitly agree to do so.

With this decision, the Catalan Government wants “to safeguard” its power to adopt this type of tax or the equivalent revenue, after the Spanish Government announced the creation of its own tax while keeping it at 0% to prevent the Autonomous Communities from approving it. The Constitutional Court has already backed the taxes on bank deposits created by Extremadura, Andalucía and Canarias. Catalonia’s tax will not affect clients but only the banks. It will affect all banks operating in Catalonia, independent of where they are based. In addition, it will have retroactive effects as from the 30th of November. The Spanish Finance Minister warned that the Spanish Government will fully oppose it.

The 10th legislative term of the Catalan Parliament kicked off with the election of the chamber’s Bureau, a preliminary step before voting for the President of the Catalan Government. The Speaker will now hold talks with party leaders to analyse support and designate a candidate for Catalan President. Following last week’s agreement among 5 of the 7 parties sitting in the chamber, Núria de Gispert, from the Centre-Right Catalan Nationalist Coalition (CiU), has been re-elected as President of the Catalan Parliament. The CiU, the Left-Wing Catalan Independence Party (ERC), the Catalan Socialists (PSC), the People’s Party (PP) and the Catalan Green Socialists and Communists (ICV-EUiA) have split the rest of the Bureau’s offices. The two smallest parties, the anti-Catalan nationalism ‘Ciutadans’ and the radical left-wing and independence party CUP have been left out of the Bureau.

Holding the self-determination referendum before 2015 and certain aspects of the fiscal policy are the final obstacles to a definitive agreement between the Centre-Right Catalan Nationalist Coalition (CiU) – which won the elections but lost support – and the Left-Wing Catalan Independence Party (ERC) – which is the second largest party now, having doubled its support. After two and half weeks of negotiations, the ERC will vote for the CiU leader, Artur Mas, to be re-elected as President of the Catalan Government. However, the ERC’s stable parliamentary support – since it will not directly be part of the Cabinet – is not granted yet. Party leaders met on Friday to seal the agreement, but differences persist and the date for the re-election debate is approaching.

The former President of Brazil, Luiz Inácio Lula da Silva, has collected the ‘Premi Internacional Catalunya’, a prestigious prize recognising individuals who have greatly contributed to the development of cultural, scientific and human values around the world with their work. In the award ceremony held in the Palace of the Catalan Government, in Barcelona, Lula da Silva has asked Catalans and Europeans “to fight to guarantee the Welfare State”, which was achieved with so much effort. He also praised Catalonia as “a moral and political model for all democratic people” and “a world symbol of the fight for freedom and social progress”. The award was announced in April but the ceremony was postponed due to Lula da Silva’s recovery process after he suffered from cancer.

At the end of October, the Catalan Government had a 1.17% deficit, representing a difference of €2.34 billion between revenue and spending. It is a significant reduction compared to last September, when the deficit reached 1.26% of the Catalan GDP. Furthermore, it also represents a 23% reduction compared to the first ten months of 2011, when there was a €3.05 billion deficit. The improvement is mostly due to an increase in revenue. By the end of 2012, the Catalan Government is obliged to meet a 1.5% deficit target.

The Spanish minister for Education, José Ignacio Wert, has proposed a new law that the Catalan government sees as a “threat” to the current Catalan educational system and the “worst” legislative piece on the teaching of regional languages “since 1978”. The proposal would relegate the Catalan language to a ‘specialized subject’ at schools, while the Spanish language would continue to be a ‘core subject’ and a second foreign language would be taught as a ‘specific subject’. Catalan minister Irene Rigau left a meeting in Madrid to express her opposition to the motion. She said that the proposals presented are “not negotiable” for the Catalans.

The Catalan Government spokesman, Francesc Homs, hopes ERC opposition to forming a coalition is not a definitive stance and that negotiations may yet be successful. The ERC leader, Oriol Junqueras, said on Wednesday that he plans to stay in opposition while offering parliamentary support to the CiU on key issues such as the budget and the independence referendum. His deputy, Marta Rovira, repeated his comments on Thursday. Meanwhile, Junqueras met with the leader of the ICV-EUiA, Joan Herrera, who advised him it will be very difficult to “change the economical policies” of the CiU and urged him to participate in a “left-wing alternative”. The leader of the Socialists, Pere Navarro, cancelled a meeting with the CiU’s Artur Mas due to “diary issues”.

The leader of the Left-Wing Catalan Independence Party (ERC), Oriol Junqueras, has confirmed to the incumbent President of the Catalan Government and leader of the Centre-Right Catalan Nationalist Coalition (CiU), Artur Mas, that they do not want to sit in the Catalan Executive. However, Junqueras guaranteed Mas ERC’s support for approving the main issues, such as Mas’ re-election as President, next year’s budget and the self-determination referendum. In fact, this last point is the ERC’s main condition for the agreement. The CiU had been insisting on the need to make a stable pact with either the ERC or the PSC, after last Sunday’s electoral results, which would include sharing the government responsibilities in such difficult economic times.

The CiU leader and incumbent President of the Catalan Government, Artur Mas, stated that they will start negotiations with the Left-Wing Catalan Independence Party (ERC) and the Catalan Socialist Party (PSC) to set up a stable pact. The ERC, which is now the second-largest party in the Catalan Parliament, said it would not sit in the Government but they will offer stable parliamentary support if the CiU does not abandon the self-determination agenda. Besides, the PSC stated it would not give its support to Mas as their “job is to build an alternative”. On Sunday, the CiU won the elections but lost 90,000 votes and 12 MPs. However, the parties defending the organisation of a self-determination referendum within the next four years had 345,000 more votes. The parties defending the unity of Spain had 201,000 more votes but lost 1 MP.

The parties defending the organisation of an independence referendum within the next four years increase their support and obtain 64.4% of the seats in the new Catalan Parliament. In addition, the parties clearly defending independence get 54.4% of the MPs. The Centre-Right Catalan Nationalist Coalition (CiU), which has been running the Catalan Government and aimed for “an exceptional majority”, loses 12 MPs thus obtaining only 50 seats in the 135-seat Parliament. The Left-Wing Independence Party (ERC) becomes the second-largest force, increasing the number of its MPs from 10 to 21. The Catalan Socialist Party (PSC) drops from 28 to 20 seats. The People’s Party, which currently runs the Spanish Government, increases their support by 1 MP, obtaining 19 seats. Support for the Catalan Green Socialist and Communist Coalition (ICV-EUiA) grows from 10 to 13 MPs. The anti-Catalan nationalism and left-wing party Ciutadans (C’s) triple their results and obtain 9 MPs. The radical left-wing and independence coalition CUP enters the Parliament with 3 MPs.

The incumbent President of the Catalan Government and the main CiU candidate, Artur Mas, is asking for massive support in order to have the strength to negotiate the organisation of an independence referendum. The CiU is focusing the re-election campaign on the self-determination process, heading away from the unpopular budget cuts it has been implementing over the last two years. The CiU is currently Catalonia’s largest party, running most of the public offices. It has 62 MPs in the 135-seat Parliament and gained 38.43% of the votes in the 2010 elections. Polls give them between 61 and 71 seats, in the best scenario obtaining an absolute majority. However, the CiU campaign has been completely derailed nine days before the elections by the Spanish nationalist newspaper El Mundo, which accused Mas and other top CiU leaders of corruption. These accusations turned out to be false and Mas is now accusing the Spanish Government of playing dirty tricks.

With 10 MPs and 7.37% of the votes in the last Catalan elections, the Catalan Green Socialist and Communist Coalition (ICV-EUiA) has been the most vocal opposition to the Catalan Government’s austerity measures, despite being the fourth largest party in the Catalan Parliament. ICV-EUiA is trying to attract those who participated in the numerous anti-budget cut demonstrations, as well as those who attended 15-M Movement protests. Polls indicate that the ICV-EUiA might increase their support but are not conclusive as to what extent, as it seems they could obtain between 10 and 16 MPs. Besides the social and environmental agenda, the ICV-EUiA openly supports Catalonia’s self-determination right and the organisation of an independence referendum next term. However, Joan Herrera refuses to say if he personally supports the push for independence, as he says it would depend on the alternatives offered.