Politics

The tension between the Spanish and the Catalan Executives is increasing. The Spanish Government refused to allow the President of the Catalan Government, Artur Mas, to deliver a short welcoming speech to the participants of the First Economic Forum of the Western Mediterranean. This event will take place in Barcelona on Wednesday, within the headquarters of the Union for the Mediterranean Secretariat (UFM), a building owned by the Catalan Government. It will bring together 10 Ministers of Foreign Affairs and it will be part of the 5+5 Dialogue, which is formed by 5 EU Member States and 5 North African countries. The Spanish PM, Mariano Rajoy, will chair the meeting and he only allowed Mas to come as a part of his delegation, Mas will be permitted to join the meeting but not to speak. In similar meetings, presidents of other Spanish Autonomous Communities, including Catalonia, have been allowed to address participants.

Graham Watson, one of the leaders of Liberal Group at the European Parliament emphasised that “the EU has to be a sufficiently strong but sufficiently flexible entity to allow people to express themselves within it”. This “may mean some changes to boundaries; but we are democrats and if that is what the majority wants then that is what must happen” added the leader of the third largest group at the Strasbourg Parliament. According to Watson, the debate about Catalonia or Scotland’s possible independence “is a very important issue for the European Union”. The British politician sent a clear message to Spain: “This is not a period of kings and nation-states, it’s a period of people working together through their democratically-expressed will and that should be as clear to a Castilian as to anyone else”.

The President of the Catalan Government, Artur Mas is the most senior public figure in Catalonia, just after the King of Spain and the Spanish Prime Minister. However, at Thursday’s scheduled dinner with the main Catalan business association ‘Foment’ and the Spanish Deputy Prime Minister, Soraya Sáenz de Santamaría, a last-minute change in the protocol put Mas in second place. The Catalan President considered that “conditions had changed” and as a protest he announced he was not going to the dinner. Instead, the Catalan Minister for Business and Employment was representing him. ‘Foment’ has been ambivalent regarding Catalonia’s self-determination process, although it supports the claim for finding a negotiated way out of the current political situation by organising a legal referendum.

The Spanish Government has sent a Budget Plan to the European Commission, following the new rules giving Brussels greater control on Member State finances. The plan’s scope includes all government levels in Spain. In the plan, the Spanish Government imposes a global budget adjustment of €8 billion on the Autonomous Community governments, including Catalonia’s, to be achieved within the next two years. €2.14 billion would come from increasing revenue next year, since Madrid considers that the Autonomous Communities can still increase their own taxes, particularly those linked to the environment. €1.93 billion would come from further budget cuts. This would total €4.07 billion in 2014, which would roughly be repeated in 2015.

One of the six ‘fathers’ of the Spanish Constitution, Miquel Roca, who currently leads one of the largest law firms in Spain, stated that the Constitution does not ban a referendum on Catalonia’s self-determination. “It is a matter of political will”, since Catalonia is recognised “as a nationality” by Spain’s main law, stated the respected lawyer, who also used to be a leader of the Centre-Right Catalan Nationalist Coalition (CiU). In front of a committee of the Catalan Parliament, Roca remarked that it would be “absurd” to call for a referendum at Spanish level, as it would only be binding in Catalonia. In the rest of Spain it would not be binding, emphasised Roca, as “it is said in Article 92”. This article reads that non-binding referendums can be called regarding issues of extreme importance.

The Catalan Government has published a report listing all the Spanish Executive’s disloyalties towards Catalonia including not respecting legislation, devolved powers and cultural aspects. The 50-page document has a chapter quantifying the costs of such disloyalty, which totals €9.375 billion, according to the Catalan Government. €5.748 billion correspond to infrastructure which has not been built; €672 million to a reduction in institutional transfers; €1.715 billion to spending increases due to the Spanish Government’s unilateral decisions; and €1.239 to revenue reductions due to similar unilateral decisions which have never been compensated. The report does not take into account the so-called fiscal deficit – the €16.5 billion that each year Catalan tax-payers transfer to the rest of Spain. The Catalan Government emphasised that there has been “a permanent disloyal activity” since 2000.

The Catalan Government will receive €1.7 billion less from the Spanish Liquidity Fund (FLA) in 2013 than had been previously foreseen. The news was announced by the Spanish Government in mid-October, with only 10 weeks left before the end of the year. Madrid has justified the decision by linking the FLA to the plan to lend money to public bodies in order to enable them to pay suppliers. The money to pay suppliers will now be deducted from the FLA, changing the previous conditions. As a consequence, the Catalan Government will not be able to fund the 1.58% deficit it had allowed, since the FLA is its only access to liquidity. Now, Catalonia will only have money for the previously-foreseen 0.7% deficit. The Catalan Executive feels “tricked” as “it is not understandable that the Spanish Government agrees to a greater deficit and later cannot fund this deficit”.

On Saturday, Spain’s National Day, those opposing Catalan independence and defending Spain’s unity organised a large-scale demonstration in Barcelona. In absolute terms, the demonstration was far from gathering as many people as the Catalan independence demonstration a month ago or that of 2012. However, it was still a massive concentration of people, gathering around 30,000 people according to the local police, 105,000 according to the Spanish Government and 160,000 according to the organisers. The People’s Party and the anti-Catalan nationalism party Ciutadans (C’s) attended the demonstration. The organisers had been received on Thursday by the Presidents of the Catalan Government and Parliament.

The People’s Party (PP), which runs the Spanish Government, used its absolute majority in the Spanish Parliament to pass a controversial reform of the Education System, which is not supported by the teachers’ unions or the rest of the political parties. Among several aspects, the new law goes against the Catalan school model, based on the linguistic immersion principle, which guarantees that all pupils master both Spanish and Catalan by the end of their studies, ensuring equal opportunities. The reform is the personal project of Spain’s Education Minister, José Ignacio Wert, who used to collaborate in far-right television channels. The Catalan Education Minister, Irene Rigau, confirmed that she will take the new law to the Constitutional Court and stated that the reform will not be implemented in Catalonia in 2014.

In an interview with the Catalan News Agency, the European Commissioner for Regional Policy, the Austrian Johannes Hahn, nuanced previous statements made by other Commissioners and opened the door to debating Catalonia’s EU membership “in a more relaxed way”. Hahn “rejected” the idea that the Commission “is ignoring Catalonia’s independence movement”; “we are watching it carefully”, he said. On the question of automatic expulsion from the EU in the event of becoming independent, the Commissioner emphasised that “of course there is no provision in the Treaty and that’s why legal experts have the opinion that then Catalonia should ask for membership”. However he immediately added that “we should resolve this issue in a more relaxed way”, since “if there is independence, it would not happen from one day to the next”.

On the same day, the Court re-affirmed its decision to keep its current Chairman in position despite his anti-Catalan public stance and having been a member of the governing People’s Party (PP) until 2011. On top of this, Catalan and Basque Members of the European Parliament from five different parties formally asked the European Commission to intervene against the politicisation of the Spanish Constitutional Court, stressing that EU democracies should have an independent judiciary. The Constitutional Court is the highest interpreter of Spain’s legislation, has to guarantee the respect of fundamental rights and acts as a referee between the different government levels and political actors. In this capacity, it ruled against the appeal presented by the Spanish Socialist Party (PSOE) against the law that abolished the requirement to know Catalan for working as a public servant in Majorca, Minorca, Ibiza and Formentera, despite it being the local language.

Nils Schmid, Vice President of Baden-Württemberg and regional Minister for Finance and the Economy, said in an exclusive interview with the CNA that Catalans are the ones who have to decide whether they want to remain within Spain or to become independent. This process should “of course […] be based on a referendum”. The Leader of the Social-Democrats (SPD) in this state also added that his party is proposing to include the possibility of holding referendums at national level in Germany, which is currently not envisaged by the German Constitution. However, he “cannot imagine” an independence referendum for Baden-Württemberg. On other issues, Schmid pointed out that “fiscal consolidation is not enough” and has to come with “structural reforms” and policies to stimulate growth. He also welcomed Catalans who are going to Germany to find job opportunities.

In his seventh official visit to the European Union institutions as President of the Catalan Government, Artur Mas, met with three European Commissioners on Monday, including Vice President for Economic Affairs Olli Rehn. Mas acknowledged that they had not asked him about Catalonia’s independence process – an attitude that does not surprise him, he said. Mas explained that neither had he brought it up, since his visit was to discuss specific policies and issues. “If they do not ask me about it [Catalonia’s self-determination process], I do not talk about it”, he said. However, when addressing the press, the Catalan President emphasised that the EU should have “the political honesty to acknowledge there are no precedents” regarding the secession of a part of a Member State, and no path is set in the EU Treaties for this eventuality.

On Monday the Spanish Government presented its budget proposal for 2014. As every single year, it will only invest in Catalonia a much inferior budget share than Catalonia’s weight within Spain in GDP or population terms. In 2014, the Spanish Government is planning to spend just 9.6% of its total regional investment in Catalonia, far short of the Catalan GDP (18.9% of Spain’s total) and population (15.7%). In addition, compared to the budget forecast for 2013, the €944.42 million planned for 2014 represents a 25% annual drop, while investment throughout Spain will only be reduced by 7.2%.

In addition, the Catalan Chamber has also approved setting up the exact date, question and legal process for the self-determination vote before the end of the year. The resolution was approved with 65% of the Catalan Parliament’s members voting in favour. However, the Catalan Socialist Party (PSC) – which is part of the Spanish Socialist Party (PSOE) – finally decided to vote against the text. The request was approved with the votes of the Centre-Right Catalan Nationalist Coalition (CiU) – which runs the Catalan Government, the Left-Wing Catalan Independence Party (ERC), the Catalan Green Socialist and Communist Coalition (ICV-EUiA) and the radical left wing and independence party CUP. The PSC, the People’s Party (PP) – which runs the Spanish Government – and the anti-Catalan nationalist and populist party Ciutadans (C’s) voted against.