business

According to figures from the Spanish Institute of Statistics, prices in Catalonia have risen from -0.3% in Octoeber 2013 to an annual inflation rate of 0.1% in October this year, the same as that of September. Inflation has been kept low by falling prices of electricity, while the rising cost of fresh food has prevented negative inflation. In Spain, prices have risen from a -0.6% annual inflation registered 12 months ago to a negative inflation of -0.1%, accumulating four consecutive months of negative rates. The prices of fresh food and non-alcoholic beverages influenced the most the annual price increase in Catalonia, and thus offset the low performance in other sectors that are contributing to keep annual inflation close to zero in Catalonia, and in the negative for the last four months in the whole of Spain.

The President of the Catalan Government, Artur Mas, announced on Wednesday that next Monday he will send a letter to the Spanish Prime Minister, Mariano Rajoy, to assess November 9's participatory process and to offer a negotiation for organising a definitive referendum on independence. Mas made such an announcement the day after the Constitutional Court suspended November 9's vote and after the Catalan Government confirmed that the participatory process will still take place on Sunday. The Catalan President emphasised that November 9's vote "is not a referendum to declare independence" and he said that those making these declarations "are lying". Mas emphasised he has respected the suspension of the original consultation vote, launching a citizen participation process instead. "If such a process cannot be carried out in a normal way, then Spanish citizens should think about Spain's democratic quality", he concluded.

Catalonia’s registered unemployment figures for October have been released by the Spanish Ministry of Employment and Social Security, and while they have increased it is the lowest rise in four years. The number of people registered at the Catalan Public Employment Service (SOC) stood at 587,133 people in October, a rise of 1.97% since September, with an increase of 11,321 people. This October increase is the lowest in four years according to the Ministry series, which began in 1996. Compared with October last year, the number of unemployed people in Catalonia decreased by 7.37%, equivalent to 46,699 people. Since July 2013, this represents 16 consecutive months of annual decreases. In the whole of Spain, there were 4,526,804 people unemployed in October, 79,154 more than in September. Across Catalonia, unemployment increased in monthly terms in all four provinces, but decreased throughout in annual terms. The Catalan Government "confirms positive trend" in employment.

On Monday, the 'World Travel Market' (WTM) opened in London and Catalonia is participating with a 300 m² exhibition stand promoting a variety of its tourist destinations and highlighting its uniqueness with areas as diverse as the city of Barcelona, the Costa Brava and the Penedès wine region. The WTM is highly important in the tourism and travel industry, and represents a crucial opportunity for business networking and attractive investment. Catalonia’s participation strengthens its growing importance as a holiday destination for British tourists, who have increased by 4% and represent revenue of €1 billion in the first 10 months of 2014, the second largest after the French. Through the event, Catalan companies will mix with 5,000 other organizations from 200 countries, with an estimated 50,000 professionals from the industry participating.

The 20^th edition of the Manga Fair is taking place between Thursday 30^th October and Sunday 2^nd November at the Fira de Barcelona's Montjuic exhibition space. The Manga Fair is an annual event that celebrates the popular Japanese anime, bringing together fans from all around the world, through a series of exhibitions and activities in Barcelona. This year, the space has increased to 50,000m², and the opening times will be extended. There will be a variety of special guests attending, including the author Kengo Hanazawa, artist Takeshi Obata from Japan, and Ken Niimura, a Spanish author of Japanese descent. There will also be a number of musicians participating, such as the Japanese pop group Loverin Tamburin. The programme features various exhibitions on Japanese authors and illustrators. On the catering side, the event will feature Michelin-star chefs including Ricardo Sanz and Jordi Roca.

Abertis, the international group which manages transport and telecommunications infrastructures, has announced it will list its telecom exchange business on the Stock Exchange in 2015. The Catalan company presented its new Strategic Plan for 2015-2017 to investors in London this week. The main objectives of the decision were to develop its business strategy, increase returns for shareholders and boost growth. The company currently owns 8,000 radio, television and mobile signal towers. Besides, Abertis presented its numbers for the first nine months of 2014 to the Spanish Stock Exchange Authority (CNMV), including a net profit of €560 million, an increase of 4.6%. The new Strategic Plan also envisages a dividend increase of 10% for its shareholders every year until 2017.  

The 18^th Edition of the Barcelona Meeting Point will take place between 29 October and 2 November in Fira de Barcelona's Montjuic venue. The trade fair is a real estate exhibition that brings together buyers and sellers to network and learn about the latest industry trends. This year there will be 265 participating companies from 23 countries. According to the show’s President, Enric Lacalle, it will be the first edition to open in a recovering housing sector, after 6 years of crisis and setbacks. The real estate market is strengthening; there was a 36.6% increase in the acquisition of houses by foreigners in 2013 and a 12.5% rise in housing sales throughout Spain. In addition, real estate investment in Barcelona is expected to exceed €1.6 billion in 2014, 30% more than last year. In fact, 21 international investment funds will participate in the trade fair. The show will also include a series of talks and presentations, and offer financing options for property purchase.

Figures released by the Barcelona Chamber of Commerce on Monday showed that the economy of Catalonia is set to grow by 1.6% in 2014 and 2.1% in 2015. The Chamber also predicted that by 2015, there will be a 2% rise in Spain’s GDP and 1.4% in that of the Eurozone countries average. According to the President of the Chamber, Miquel Valls, the recovery of Catalan and Spanish economies is "solid", but he stressed that the "austerity in wages" must be maintained. This report comes after the success of all Catalan banks passing the stress tests issued by the European Banking Authority and the European Central Bank, which 25 banks across Europe failed. Related economic news is that the unemployment figures released for third quarter of 2014 set Catalonia’s rate at 19.1% and Spain’s at 23.67%.

The Spanish Airport Authority (AENA) has announced that this coming winter season over 8.4 million seats will be on offer on flights out of Barcelona El Prat Airport, an increase of 6.8% compared to last year. Seats on intercontinental destinations have increased by 13.6% over last year. The number of flight operations (take-offs and landings) is anticipated to be 47,000: an increase of 4.1% to 2013. In contrast, the airport of Girona Costa Brava (northern Catalonia) has announced it will offer 16 routes this winter season, 20% less than last year. Ryanair has implemented the cuts it announced last May and will no longer be connecting Girona to London or Paris. Ryanair and Wizz Air will be the only airlines flying from Girona to Kiev, and only Ten Airwais will operate charter flights to Nador, Morocco. This summer, Girona airport connected passengers to 69 destinations.

Spain's unemployment rate at the end of the third quarter stands at 23.67%, according to the latest Active Population Survey (EPA). The unemployment rate for Catalonia has fallen below 20% for the first time in the last 3 years and is set at 19.10%. The number of unemployed people in Catalonia has dropped by 44,400 in the third quarter of 2014, a decrease of 5.76% compared to the previous quarter. This is the biggest reduction since at least 2002, when the Spain's Statistical Institute began the series. Thanks to the creation of 69,100 new jobs in Catalonia over the last 12 months, there are now 34,800 more people employed in the third quarter. This makes Catalonia have the second highest unemployment drop in Spain, second only to Madrid Region (-48,200 people). The Catalan Minister for Business and Employment, Felip Puig, has called the figures are "encouraging" and "hopeful", although a 19.1% rate is still "very high".

Barcelona will be hosting the International Boat Show 2014, between the 15^th and the 19^th of October. The 54^th Edition of the Show is expected to be the most successful yet, and organizers are confident it will show that the marine industry has left the crisis behind for the first time in 7 years. The Port of Barcelona is the perfect location for such an event, and is a significant contributor to the Catalan economy. An exhibition of both commercial and recreational marine vessels, organizers expect high levels of participation and sales. One of the highlights of the exhibition will be Lehr and Nautigas, maker of the innovative engine that runs on propane, leading the way in environmentally-friendly vessels. Among the show’s 19 facilities there will also be organic fuels on display, with explanations of both their environmental and financial benefits.  

September figures show that prices are recovering in Catalonia, with inflation posting a 0.1% rate in annual terms. According to figures released by the Spanish Institute of Statistics (INE), Catalonia is showing a positive inflation of 0.1%, up from the -0.1% recorded in August, running away from a deflation scenario. While in Spain, there is a negative annual rate of -0.2%, although it improves the August rate of -0.5%. Overall, prices showing a positive recovery rates were in the sales of fresh fruit and housing. Inflation figures are promising throughout Catalonia, although data is uneven in the provinces of Barcelona, Girona, Lleida and Tarragona showing different positive signs of price stabilizing and positive annual inflation.

The energy company Gas Natural Fenosa announced they have launched a tender offer for 100% of the share capital of the Chilean Compañía General de Electricidad (CGE), which represents a €2.6 billion purchase. The transaction is to be the biggest international  acquisition by the Barcelona-based company. The total size of the operation, including the consolidated debt of CGE and its subsidiaries, is approximately €6 billion. It expected to generate over €600 million gross profit next year. Purchase of CGE, which distributes electricity to 43% of the Chilean market, and has 2.5 million customers, will increase the Catalan company's presence in Latin America. Furthermore, this deal will allow Gas Natural Fenosa to meet its 2015 growth targets and strengthen its presence in Latin America.

FC Barcelona has joined Catalonia’s National Alliance for Self-Determination, which groups together more than 3,000 organisations, such as chambers of commerce, employers’ associations, trade unions, political parties, NGOs, etc. The world famous sports club therefore backs Catalonia’s self-determination process and will participate in this group that works to push it forward. Furthermore, in the last few weeks leading Catalan sportsmen such as Xavi Hernández, Gerard Piqué, Pep Guardiola, Cesc Fàbregas, Pau Gasol, Marc Gasol, Aleix Espargaró and Pol Espargaró have given their explicit support to Catalonia’s right to hold a self-determination vote to decide on its own political future, regardless of whether they would vote for independence or not. In fact, only Guardiola has openly backed independence, although none of the others have specified being against it.

The factory that the Japanese car multinational has in Barcelona will be working 24 hours a day and 7 days a week for the first time in its 30 years of existence in order to produce the Pulsar saloon car and the NV200 van. In addition, it will hire 686 new temporary workers to deal with this production increase. As from the 20^th of October, Nissan will hire 86 new staff that will strengthen the current night shift on week days, which will be covered by 500 workers in total. Furthermore in early January, 600 additional staff will be hired to work on the weekends until later March. Nissan decided to allocate the production of its Pulsar saloon car to Barcelona in February 2013, after the company and trade unions reached an agreement to improve competitiveness. Furthermore, in Barcelona in May 2014, it started to assemble its first electric van model.