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Catalonia sets its own deficit limit at 0.14% of GDP from 2018

September 28, 2011 01:29 AM | CNA / Gaspar Pericay Coll

The Catalan Government has approved the new Law of Budget Stability, which foresees a gradual and significant reduction of the deficit in the following years. The law permanently fixes an allowed deficit limit of 0.14% of Catalonia’s GDP from 2018, two years earlier than the deadline required by the Spanish Constitution’s modification. According to the Catalan Finance Minister, Andreu Mas-Colell, the law demonstrates Catalonia’s “strong commitment to budget stability”. In addition, the law creates a fund to return public debt, which will be filled with any additional revenues or budget surplus.

Hollywood films dubbed into Catalan to increase from 1% to 7% of all exhibited movies in 2012

September 27, 2011 01:16 AM | CNA / Violeta Gumà

An agreement among the Hollywood majors, the movie theatres and the Catalan Government will increase the presence of American movies dubbed into Catalan. In 2011, only five Hollywood films were dubbed into Catalan. In 2012, 25 movies will be available in the language. The reason for this agreement is to promote the presence of the Catalan language in movie theatres, as currently Spanish almost monopolises the market.

The external audit on the previous Catalan Government finances confirms a deficit previously predicted of 4.2% for 2010

September 21, 2011 01:48 AM | CNA

The current Catalan Government, which took office last Christmas, hired an external auditor to better understand the state of the public finances. Deloitte has increased the Government’s deficit for 2010, from 3.86% to 4.2%, in line with the last data known and internally audited. The Catalan Minister for the Economy, Andreu Mas-Colell, explained that “one out of every three euros spent [in 2010] was not covered by tax revenues”. The main opposition party, which formed part of the previous Government and was in charge of finances, stated that their management cannot be made responsible for the deficit increase, as the deficit calculation criteria has changed.

The Catalan Government is preparing the release of 3,800 million euros in retail bonds

September 15, 2011 11:25 PM | CNA

As carried out on two other occasions in the last year, the Catalan Government is preparing to release of 3,800 retail bonds to get cash. Financial sources informed ACN about the operation, which has not been confirmed by the Catalan Ministry of Economy. The bonds would be offered before November 21st, the day that the bonds issued by the former Catalan Government in autumn 2010 expire.

The Catalan Supreme Court halts the two month deadline to include Spanish as a school language of instruction

September 15, 2011 11:19 PM | CNA

The Catalan Government appealed the order of the Catalan Supreme Court, which insisted that the Catalan school system should be modified in order to comply with the Spanish Supreme Court’s sentence from last December to include Spanish as language of instruction. With the Government’s appeal, the Court’s deadline is automatically suspended, until the Court decides on the appeal. The appeal is based on two sentences from the Spanish Constitutional Court validating the Catalan school model, as well as on the linguistic immersion principle which guarantees social cohesion and equal opportunities.

Fitch lowers Catalonia’s debt rating despite recognising the efforts to reduce the public deficit

September 14, 2011 11:37 PM | CNA / Gaspar Pericay Coll

The rating agency Fitch reduced Catalonia’s long term debt’s appreciation, going from A to A- because of the expected weak economic growth. Nevertheless, Fitch recognised the efforts to reduce the public deficit carried out by the Catalan Government. Fitch has lowered the debt rating of five Spanish Autonomous Communities and given others a negative perspective for the future. The Catalan Ministry of Finance thought that the reduction is due to “the international situation” and stressed that efforts are already made.

Catalan municipalities will no longer have to save land for new religious centres

September 13, 2011 10:59 PM | CNA / Gaspar Pericay Coll

The Catalan Government approves the modification of the Worship Centres Law from 2009. Town halls will no longer be obliged to save plots for the construction of new religious centres. No architectonical aspects are banned but the law gives town halls the authority to decide on the conditions of construction regarding aesthetics. In some Catalan towns, there have been complex controversies regarding the construction of mosques in recent years. Some Catalan towns have more than a 30% immigrant population, most of who have arrived in the last 10 years. The current approach is to give the authority to each individual town hall to adapt to its local reality.

Courts oblige the Catalan Government to made Spanish a school language of instruction together with Catalan

September 3, 2011 12:32 AM | CNA / Gaspar Pericay Coll

The Catalan Supreme Court of Justice issues a court order giving the Catalan Government 2 months to change the current school model and include Spanish as a school language of instruction. The Government will appeal. Teacher unions and the main parent associations back the current model. Currently, Catalan is the language used and Spanish is taught in school but only as a subject. For the Catalan Government, the court decision breaks a model praised by international organisations, which guarantees social cohesion and the knowledge of both languages by all pupils.

Catalonia reduces the less used primary health services to save money, generating citizen protests

September 2, 2011 01:55 AM | CNA

The Catalan Government is reducing public deficit and cutting public spending by 10% this year. All areas are affected, including healthcare, which is one of the departments with a smaller percentage budget reduction. Last August, 25 community health centres (CAP) reduced their opening hours, closing their emergency room during nights and weekends as they were scarcely used; as of this September, another 21 centres in a similar situation have been added to the list. Citizens have been camping in some CAPs to protest about the decision.

Catalan President: “Catalonia and Spain will be more separated” if Catalan demands on the Constitutional amendment are not heard

September 2, 2011 12:06 AM | CNA / Gaspar Pericay Coll

“It means that we are not wanted, we are excluded, we are ignored” stated Artur Mas, President of the Catalan Government and leader of the Centre-Right Catalan Nationalist Coalition (CiU). It was the first time he has spoken on the Constitutional amendment limiting the public deficit that has been agreed on only between the PSOE and the PP. The CiU has protested against reforming the Constitution solely on the basis of the agreement of only two parties. Members of the PP and the PSOE have been trying to convince the CiU to support what both parties had previously agreed, and PM Zapatero (from the PSOE) asked the CiU to show some “moderation”.

Catalan moderate nationalists warn that a great clash with unforeseeable consequences is about to happen

August 30, 2011 11:10 PM | CNA

Meanwhile, the Catalan Government, run by the Centre-Right Catalan Nationalist Coalition ‘Convergència i Unió’ (CiU), announces its own law on budget stability. The CiU feels excluded from the reform of the Spanish Constitution to limit public deficit, especially as they had been one of the key actors when negotiating and approving the Constitution in 1978. The CiU’s Spokesperson warned that, since “the Constitutional consensus” had been broken by the PP and the PSOE, “a great clash with unforeseeable and undesired consequences will happen” if nothing changes.