Highlights

The Barcelona Chamber of Commerce, which supports a "legal" and "informed" self-determination vote, has calculated how independence would affect business and trade exchanges between the two countries in the first 5 years and its impact on Catalonia's and Spain's GDP. Firstly, the business association estimates that with an amicable independence process, there will not be a negative impact on the trade exchange flow and therefore, without considering other elements, the GDP would not be affected by this issue. The Chamber has calculated the impact in 5 negative scenarios: from a 10% commercial boycott to a 50% one. If there was "a very intense conflict" with a 30% boycott, Catalonia's GDP would drop by a total of 3.4% over five years, while the Spanish GDP would drop by 0.8%. Catalan companies sell more to the rest of the world than to the rest of Spain.

Throughout this week the Fira de Barcelona's Montjuic exhibition venue in the Catalan capital is transformed into a business fair for start-ups and entrepreneurs. The BizBarcelona event takes place on Wednesday the 4^th and Thursday the 5^th of June and is the second edition of this innovative business fair. The event serves several purposes and contains as many as six different areas including e-commerce, the financial markets, exports, franchises, business consulting as well as cooperation and networking. The event offers various opportunities for established and future entrepreneurs. BizBarcelona is a welcome initiative. First quarter financial reports revealed a decrease in bankruptcy proceedings, and with a high unemployment rate in Catalonia and Spain it is hoped that these new companies can create jobs.

The Centre-Right pro-Catalan State Coalition, Convergència i Unió (CiU), which runs the Catalan Government and was an essential part of Spain's Transition from dictatorship to democracy, will not vote in favour of the law regulating the King's abdication. The CiU, which has played a crucial role in Spanish politics, has decided to abstain in the Spanish Parliament's vote, in line with its support of Catalonia's self-determination process. All other Catalan parties are expected to oppose the succession process, with the exception of the Catalan socialist Party (PSC) –part of the Spanish Socialist Party (PSOE) – and the Catalan branch of the People's Party (PP). In his first speech after his father's abdication announcement, the soon-to-be Felipe VI promised "to serve […] our beloved Spain", "a nation, a political and social community, united, diverse, which deepens its root in a millenary history".

The Barcelona Metro will reach El Prat Airport by the first half of 2016, perhaps even earlier, according to forecasts announced on Wednesday by the President of the Catalan Government, Artur Mas. The L9 line connecting Barcelona municipality to El Prat Airport and other cities has been under construction since 2002, and was originally anticipated to open in 2008, but the financial crisis and the state of public finances have delayed its full completion. An initial stretch of the line became operational in 2009, located at the opposite end to the airport. Once fully finished, the underground line will consist of two branches spanning across the Barcelona metropolitan area, making it the longest automatic metro line in Europe. The entire project will represent a total investment of €16 billion, €3 billion of which is for the airport connection. The test phase of the airport stretch will begin this autumn and should be completed by early 2016 or earlier.

Registered unemployment in Catalonia has dropped to 592,304 people at the end of May 2014: the first time the figure has fallen below the 600,000 mark since August 2011. According to figures released by the Spanish Ministry of Employment and Social Security, between May 2013 and May 2014, registered unemployment dropped by 7.76 %, a reduction of 49,862 people. In only one month, unemployment decreased by 19,518 people from April to May, a 3.19 % drop. This has been the greatest monthly decrease recorded in May for 18 years. Furthermore, Catalonia has also experienced the greatest fall in unemployment of any Autonomous Community in Spain this last May, followed by the Region of Madrid.

The South-African Archbishop Desmond Tutu has travelled to Barcelona to receive the XXVI Premi Internacional Catalunya, the highest tribute the Catalan Government accords following an independent jury's decision. The award recognises people who have made significant contributions to Humankind. Addressing journalists on Tuesday morning, ahead of the evening award ceremony in Barcelona, the Nobel Peace Prize laureate spoke of the Spanish authorities' necessity of an open dialogue about Catalan independence. Tutu was surprised that such a vote could take place in Scotland but not in Catalonia. He stated that Spain's denial of the strong support for self-rule only exacerbates the problem. At the press conference, the Archbishop also touched upon the subject of King Juan Carlos' abdication, saying he believed a monarchy could be a force for good when "it helps draw people together", although he also underlined that all human beings are equal.

Catalan parties, business associations and other institutions have reacted  to the abdication of King Juan Carlos announced this Monday morning. All the left-wing parties except the Catalan Socialist Party (PSC) – which is part of the Spanish Socialist Party (PSOE) – have called for a referendum on the monarchy's continuity and the instauration of a Republic. In fact, a series of demonstrations were held in several Catalan cities demanding a new Republic. The other widespread reaction came from those not questioning the monarchy, although all of them ask for a "modern King." Instead, most of them ask Crown Prince Felipe to be sensitive to the Catalans' will to self-determination and they expect he will act as a mediator to enable a negotiated way out to the current political conflict.

As King Juan Carlos I announced the end of his 38 year reign, he will be remembered as the Head of State who drove the transition to democracy after the dictatorship of Francisco Franco, and overcame the coup d'état on 23 February 1981. In 1969, Franco appointed him his successor, and he took the throne on 22 November 1975.  Within months King Juan Carlos had chosen Adolfo Suárez as the first Spanish Prime Minister after Franco's Dictatorship. Once the Spanish Constitution was approved in 1978 and parliamentary monarchy established after the 1981 coup, the King enjoyed years of relative stability as one of Europe´s most popular monarchs. However, since 2011, his image has deteriorated as a result of a long running corruption investigation into the business dealings of his daughter and her husband, and in 2012 his reputation was further tarnished by a €10,000 hunting trip to Botswana during Spain´s deep economic crisis.

After the abdication of King Juan Carlos was announced this Monday morning, the President of the Catalan Government, Artur Mas, made a statement in which he emphasised that Catalonia's self-determination process was continuing. Mas wished the Crown Prince and soon-to-be new King Felipe "good luck" and "to make wise decisions and be successful, because we want things to work out for Spain, and the monarchy represents the Spanish State." However, he asked the new King and the rest of Spanish institutions "to respect the Catalans' will" to hold a self-determination vote in order "to decide on our collective future, based on mutual respect and loyal cooperation". Such a vote has been scheduled by a large majority of Catalan parties for 9November, 2014.

On Thursday and Friday, several messages were sent from business circles and the Spanish Socialist Party (PSOE) aiming to negotiate a Constitutional Reform to find a better accommodation of Catalonia within Spain. However, on Friday afternoon, the Spanish Government once again closed the door to such a Constitutional Reform saying there was "no consensus". In the morning, Spain's largest business owners association stated that "laws are not immortal" and "can be changed to adapt to reality". The day before, the President of the Cercle d'Economia business lobby said he supported "a legal" consultation vote "agreed with Spain", but asked the Catalan President "to give dialogue a second chance" and reform the Constitution if necessary. On Friday, the Secretary General of the PSOE stated that such a Constitutional Reform should be negotiated among the governing People's Party (PP), the PSOE and Catalonia. However, it would not recognise Catalonia's right to self-determination. The CiU's 'number 2' replied that the Spanish Government rejects talks. 

Between Friday 30th May and Sunday 1st June, Lleida-Alguaire Airport will play host to the first ever European race in the Air Race F1 competition , a long-established American flying competition. The event, called the Lleida Air Challenge, will also include a race of the Spanish aerobatic flying championship and other aeronautical activities. Practice started on Wednesday but the actual races will start on Friday and end on Sunday with the Air Race F1 event. 8 aircraft fly at 10-15 metres above ground level at 400km/h. The CEO of Air Race F1, Jeff Zaltman, said that he wants the competition to grow in Europe and Catalonia to act as its base for operations.

The Catalan Parliament has finally approved the legal framework allowing the construction and the activities of the BCN World mega-resort, to be located next to PortAventura amusement park in the Costa Daurada. Now, the company Veremonte has the final green light to start construction, after it already had announced the first investors some months ago. Casino giant Melco, hotel brand Melià, US Hard Rock, Value Retail shopping malls and Investindustrial, which owns PortAventura, will participate in the $6 billion project. Furthermore, Ferrari announced it will build its first theme park in Europe there. BCN World involves 6 mega-casinos, large-size hotels, shopping malls, convention centres, theatres, golf courses, parks, a beach club, technology institutes and smart city developments.

The Igualada-Odena airfield, located in Central Catalonia is home since 1992 to an aeronautical fair called Aerosport. This fair is unique in Spain. While some towns organise more events related to airplanes, this is the only one dedicated to the leisure airplane market. This year Aerosport received more than 6,000 visitors, 200 aircrafts and 35 exhibitors over last weekend. Its objectives are to put customers and companies in contact, to help people discover leisure air activities and to put the Igualada-Odena airfield on the map. Besides the exhibitors stands, aerobatics shows and conferences were also held.

The 2014 Primavera Sound Festival, taking place from the 28^th to the 31^st May in the Catalan capital, is offering more concerts in its largest-ever space with a capacity for 60,000 people per day. Most of the 348 concerts will be on stages distributed throughout the Forum Park, next to the sea and Sant Adrià del Besos' marina. Other artists are programmed in concert halls such as the Sala Apolo or Barts. Headliners this year include Arcade Fire, Queens of the Stone Age, Mogway and Caetano Veloso, among many other international artists. Furthermore, top Catalan bands such as Mishima will also be playing.

FC Barcelona has opened a new quality gastronomic space with exclusive views of the Barça's Stadium, as part of the Camp Nou Experience tour. From this week and until mid-August, the first tier of the stadium is converted a space where visitors can enjoy quality cuisine with a privileged panoramic view of the ground. This is just one of the many new attractions that FC Barcelona has prepared so that people visiting the club this summer can enjoy the most complete leisure and catering experience possible. In this space, apart from a wide range of Damm beers, including the beer created in collaboration with Catalan chef Ferran Adrià and the team from El Bulli called Inedit, visitors can enjoy hot and cold tapas, desserts and ice creams.