Catalonia misses 2011 public deficit target but Government confident will meet this year’s objective of 1.3%

The Catalan Government has announced the deficit for last year was 3.29%, short of the 2.66% target set by Barcelona. The Catalan Minister for the Economy, Andreu Mas-Colell, has praised citizens for having tightened their purse strings, and says Catalonia is on track to meet is 1.3% deficit objective in 2012

CNA / Laura Pous

February 4, 2012 01:35 PM

Barcelona (ACN).- The Catalan Government had a 3.29% deficit in 2011, according to the latest figures released by the Minister for the Economy, Andreu Mas-Colell. The deficit was projected to be 2.66%, but finished up at 3.29%, up 0.6% from the target set by the government. The Spanish executive had asked regions to cut their deficit to 1.3% last year. However Catalonia said it was impossible to meet this target so early and estimated that it would reach that level in 2012 and would have a 2.66% deficit in 2011. Despite not having met its own predictions because of the economic downturn, the Catalan government is confident it will be able to meet its 2012 objective.

Andreu Mas-Colell praised Catalans for having tightened their purse strings and having helped to reduce spending by €2.42 billion, a figure that represents a huge GDP cut of 9.35%. The minister said the reduction has been “very useful” and the 2011 target should not be seen as a terrible result. According to Mas-Colell, Catalonia is “on the right track” to meeting its 1,3% deficit target this year.