Politics

The Spanish Prime Minister, Mariano Rajoy, said on Thursday that he was hoping that “moderation” and “common sense” will finally “prevail in Catalonia”. In the evening, the President of the Catalan Government, Artur Mas, replied that Rajoy’s statement is “comical and audacious”, because Catalonia has a long tradition of moderation and tolerance. “The first way of being tolerant is making a step towards the other and, historically, Catalonia has always made this step”, Mas stated. However, now Catalan citizens want to decide on their possible independence from Spain and the “moderate” attitude is to talk about how to allow them to democratically vote on the issue, he pointed out. “Moderation cannot be confused with giving up” on a claim shared by a majority of Catalans, added Mas.

The Catalan Parliament’s Committee on self determination welcomed two Scottish MPs, Stewart Maxwell (SNP) and Patricia Ferguson (Labour Party) to learn from their experience on the political processes that led to the 2014 Scottish referendum. The Catalan Socialist Party (PSC) is currently divided on the issue of holding a self-determination referendum without Madrid’s previous agreement. The PSC leadership is convinced that any self-determination initiative has to be agreed in advance with the Spanish Government. However, some PSC MPs believe that since Madrid is currently refusing to negotiate, the Catalan people is entitled to put their own legal proposals on the table and ultimately organise the referendum on their own. The PSC asked if a referendum was possible without a political agreement between governments. Ferguson answered she believed Scotland would have gone trough with the referendum, even without a Westminster approval.

The Spanish Finance Minister, Cristóbal Montoro, “regretted” on Tuesday evening the “confusion” about having announced in October he was cancelling a €1.76 billion transfer to the Catalan Government. Without this scheduled payment, the Catalan Executive is having serious problems to fund the 1.58% deficit approved for 2013. “These things can happen” said Montoro. In late October – 10 weeks before the end of the year – the Spanish Minister announced that the Catalan Government would not receive the €1.76 billion requested from the Liquidity Fund for the Autonomous Communities (FLA) since this money would be used by the Service Provider Fund to pay for arrear invoices. A week ago, the Catalan Government confirmed Montoro would transfer the €1.76 billion.

In a clear reference to the President of the Catalan Government, Artur Mas, the former Spanish Prime Minister José María Aznar – who chairs the governing People’s Party (PP) think tank – asked for the approval of a former law sentencing any public figure organising a referendum that has previously been declared illegal to a 5-year incarceration. Aznar, who led the Spanish Government between 1996 and 2004, is a strong supporter of Spanish nationalist stances and has requested PM Mariano Rajoy to take a harder approach regarding Catalonia’s self-determination claims. The PP replied Aznar that currently there are “enough mechanisms” “guaranteeing” that an illegal vote will not take place. The Catalan President criticised Aznar’s “old-fashioned language”.

After years of debate, the new European Union’s Transport Priorities have finally been approved. The European Parliament has approved the Commission’s plan to build 9 major transport corridors connecting the continent from West to East, North to South and in diagonal. The Mediterranean Corridor for freight and passengers is one of these 9 priorities and will link Barcelona and Tarragona to the Gibraltar Straight and Central Europe, connecting major production centres, import/export infrastructures and tourist destinations. The final plan ignores the Spanish Government’s request to include the Centre Pyrenees Corridor as well, a project that was bypassing Catalonia and therefore Barcelona, despite being Spain’s main industrial, export and tourist centre and being geographically attached to France.

The parties supporting Catalonia’s right to self-determination regret the Catalan Socialist Party (PSC)’s decision to step down from giving active support to this political process. Last week the PSC’s leadership decided not to back any initiative in favour of a self-determination vote that has not been agreed in advance with the Spanish Government, which totally rejects the idea and even refuses to talk about it. The President of the Catalan Government and leader of the Centre-Right Catalan Nationalist Coalition (CiU), Artur Mas, asked the PSC “not to get off the train”, stressing the party’s tradition of defending Catalan language, culture, identity and self-government. The Left-Wing Catalan Independence Party (ERC) and the Catalan Green Socialist and Communist Coalition (ICV-EUiA) consider the PSC is now against a self-determination vote.

The Catalan Socialist Party (PSC) held this weekend an extraordinary meeting and approved the leadership’s proposal to oppose any initiative backing Catalonia’s self-determination that has not been agreed in advance with the Spanish Government. The PSC leadership wanted to lay the critics to rest but the crisis is far from being resolved. Critical PSC MPs do not rule out supporting a Catalan Parliament’s motion backing self-determination despite the leadership’s stance. The PSC is facing important internal tensions due to Catalonia’s self-determination issue, including tensions with the Spanish Socialist Party (PSOE) – to which they are federated. After several months of doubts, the PSC leadership decided to prioritise its relationship with the PSOE and distance itself from Catalonia’s right to self-determination, despite its electoral promises.

On Thursday the Catalan Socialist Party (PSC) – which is federated to the Spanish Socialist Party (PSOE) –announced an extraordinary council for next Sunday to discuss Catalonia’s self-determination. Several MPs have protested against the party leadership’s decision not to support a Catalan Parliament petition to organise a legal self-determination vote. They have threatened to break ranks and vote for the petition, as the PSC backed the right to self-determination in last year’s elections. The PSC’s leadership and the PSOE agreed to focus on opposing any initiative in favour of Catalonia’s self-determination that has not been agreed in advance with Madrid. In line with this, the PSC leadership announced that it would oppose the petition asking the Spanish authorities to transfer to Catalonia the powers to call a referendum, following Article 150.2 of the Constitution.

The Catalan Executive says it has the Spanish Government’s commitment to send the €1.76 billion that the Spanish Finance Minister, Cristóbal Montoro, announced in late October would not be transferred. This money corresponds to the loan to fund the Catalan Government’s deficit target increase from 0.7% to 1.58% in 2013 approved in July by the Spanish Executive. However, in late October – 10 weeks before the end of the year, Montoro said that this amount would be deducted from the fund to pay the Catalan Government’s service providers. This meant that Catalonia was missing €1.76 billion to fund public services and departments for the last part of the year. Negotiations during the last 4 weeks have modified Montoro’s October decision.

The Argentinean Judiciary is investigating crimes perpetrated under Franco’s dictatorship in Spain, notably the execution of Catalan President Lluís Companys in 1940. Companys was the only incumbent president to have been executed during World War II. A few weeks ago, his political party (ERC) filed a complaint in Argentina in order for his speedy military trial to be declared null and void, as the Spanish institutions have refused to do so on numerous occasions. Spain’s Amnesty Law of 1977, which is still in force to this day, has always prevented Franco crimes from being investigated and from going to trial. In 2010, Spanish Judge Baltasar Garzón, who became internationally famous for investigating Argentinean and Chilean dictatorships, was disbarred from office after trying to open a case against Franco crimes. Therefore, the plaintiffs have appealed to universal Justice, seeking restitution in other jurisdictions.

The President of the Catalan Government, Artur Mas, has travelled to Israel heading a delegation including businesspeople as well as the Mayor of Barcelona, Xavier Trias, and the Catalan Minister for the Economy, Andreu Mas-Colell, among others. On Tuesday Mas met Shimon Peres, President of Israel, and on Monday the Finance Minister, Yair Lapid, who is also the Chairman of Yesh Atid (the second-largest party in the Knesset) and ‘number 2’ in Benjamin Netanyahu’s Government. With Peres, Mas talked about a federal European Union and Catalonia’s process of building its own state. With Lapid, who is a clearly emerging figure in Israel’s political landscape, Mas talked strictly about economic matters. The Catalan delegation also signed several agreements regarding scientific research and visited the Holocaust Memorial as well as the Wailing Wall.

The Catalan Socialist Party (PSC), which is federated to the Spanish Socialist Party (PSOE), has decided to harden its strategy towards Catalonia’s right to self-determination. In the PSOE’s extraordinary Political Conference, which took place last weekend, the PSC and the PSOE agreed not to break their union and to offer a more coordinated message. The PSC supports the Catalan people’s right to self-determination, but the PSOE totally rejects it. The compromise solution will be that the Catalan Socialists will stop making explicit contributions for an agreed self-determination vote in Catalonia and will focus on opposing any initiative in favour of Catalonia’s self-determination that has not been previously agreed with the Spanish institutions.

The Parliament of Catalonia rejected a proposal to call for a “unilateral” self-determination referendum in the event that the Spanish State “blocked” the possibility of organising a vote by agreement. The motion was rejected with the votes of the Centre-Right Catalan Nationalist Coalition (CiU) – which runs the Catalan Government – and the three parties defending the unity of Spain: the Catalan Socialist Party (PSC), the People’s Party (PP) – which runs the Spanish Government, and the anti-Catalan nationalism and populist party Ciutadans (C’s). The motion supporting the idea of calling for a self-determination referendum in “a unilateral way” had been presented by the radical left-wing and independence party CUP, which has only 3 MPs in the 135-seat chamber. However it was also backed by the second-largest group, the Left-Wing Catalan Independence Party (ERC) and some of the MPs from the Catalan Green Socialist and Communist Coalition (ICV-EUiA).

The Catalan Government has presented its budget proposal for 2014, which posts a 1% deficit, representing a 35.5% annual reduction and amounting to €1.98 billion, in line with the 2014 deficit targets imposed by the Spanish Government. The budget prioritises healthcare, education and social policies, which represent 71% of the total non-financial spending. Non-financial spending grows by 0.2% and reaches €20.30 billion, while the total spending amounts to €29.31 billion. The Catalan Finance Minister stressed that spending had not been reduced this year since in the last 3 years it had already dropped by 22%. Budget cuts “have reached their limit”, as otherwise “social cohesion” and “the Welfare State” would “be at risk” he said. In 2014 the Catalan Executive will spend the same per inhabitant as it was doing in 2004 taking into account inflation (€1,901).The adjustment for 2014 focuses on increasing revenue by €3.2 billion, mostly through new taxes (€910 million) and the sales of assets and privatisations (€2.32 billion). On top of this, the Catalan Government forecasts a 0.9% economic growth for 2014, leaving behind the recession of 2012 (-1.2%) and 2013 (-1.1%).

The Spanish PM, Mariano Rajoy, considered that “to reform the Constitution in order to satisfy those who will not be satisfied”, referring to the citizens supporting Catalonia’s independence from Spain, who represent more than 50% of Catalans according to polls, would be “a great mistake”. Answering a question from the former Catalan President José Montilla, Rajoy stated before the Senate that “Spain and national sovereignty are not negotiable”. However, despite these red lines, Rajoy affirmed that his attitude towards Catalonia is “to talk” in order to find a negotiated way out. More than 80% of Catalans would like to hold a self-determination vote in Catalonia.