catalonia-spain relations

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.

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 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.

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”.

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.

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%.

The President of the Catalan Government and leader of the Centre-Right Catalan Nationalist Coalition (CiU), Artur Mas, and the Left-Wing Catalan Independence Party (ERC) agreed on speeding up the process of building “state structures” and drafting the “most social budget” in Catalonia’s recent history. In addition, Mas criticised the ‘third way’ between independence from Spain and the current situation proposed by the Catalan Socialist Party (PSC) and CiU’s ‘number 2’, saying that Catalans “have been trying” this way “for the last 100 years” and “it has never worked”. Spanish nationalist People’s Party (PP) and Ciutadans (C’s) called on Mas to stop the self-determination process. However, the main Catalan parties, from left to right and representing 77% of the parliamentary seats, presented a common text supporting Catalonia’s right to self-determination through a legal vote.

Josep Antoni Duran i Lleida, the leader of Unió Democràtica de Catalunya (UDC) – which is the Christian-Democrat party and smaller force within the two-party Centre-Right Catalan Nationalist Coalition (CiU) – insisted that he does not want independence from Spain, but a Catalan state within a Spanish Confederation. Duran – who is also CiU’s ‘number 2’ – has been proposing this formula for years. However, in the last few months and particularly on the occasion of the 400-kilometre human chain, Duran has emphasised his stance, while the larger party within CiU – the Liberal Convergència Democràtica de Catalunya (CDC) – was increasingly supporting independence. Nevertheless, Duran insisted that Catalonia must vote in a self-determination referendum, where he will defend a third way “between independence and submission”.

The Spanish Constitutional Court has decided not to exclude its President, Francisco Pérez de los Cobos, from cases directly affecting Catalonia’s self-government institutions despite his anti-Catalan statements and being a member of the People’s Party (PP) until 2011. Among many statements, in 2005 he made one of the most controversial ones when he said that “Catalans are educated to hate Spanish culture”. The Catalan Government asked him at least to apologise publicly for those words, made at a public event, and to take them back. Furthermore, all the Catalan parties except the Spanish nationalist ones rejected the Court’s decision since the institution loses even more credibility. The anti-Catalan nationalist party Ciutadans (C’s) warns that keeping Pérez de los Cobos in position will allow Catalan independence supporters to take legitimacy away from the Court.

The civil society platform that organised the colossal ‘Catalan Way towards independence’ demanded a self-determination referendum to be held in 2014 and not at a later stage. The festive demonstration was a great success, gathering more participants than last year’s 1.5 million strong rally, which was also organised on Catalonia’s National Day. Most of the Catalan Government Ministers took part in the human chain, but neither the President of Catalonia, Artur Mas, nor the Chairperson of the Catalan Parliament took part. However, they did both gave their personal support to the peaceful demonstration. Many folkloric performances and festive celebrations were carried out throughout the non-interrupted human chain. 500,000 citizens held hands in the city of Barcelona alone, and a total of 1.6 million Catalans participated in the rally, according to the Catalan Police.

This coming 11^th of September – which is Catalonia’s National Day – pro-independence supporters have organised a gigantic human chain called the ‘Catalan Way Towards Independence’ that will cross Catalonia from North to South stretching 400 km and passing through some of the main cities, such as Barcelona, Girona and Tarragona. After having organised the 1.5 million-strong demonstration of 2012, the civil society platform Catalan National Assembly is preparing a new massive demonstration that calls for independence from Spain. This year’s peculiar demonstration is inspired by the ‘Baltic Way’ of 1989, which gathered 2 million people forming a 670 km-long human chain crossing Estonia, Latvia and Lithuania. The ‘Baltic Way’ was organised exactly 24 years ago and issued a manifesto that read “a common European home can only by set up if all European nations are granted a free right to self-determination”.

“2013 is done. We now need to think about 2014”, summed up the Catalan Finance Minister, Andreu Mas-Colell, after finding out about the 1.58% deficit target imposed yesterday by the Spanish Executive. Mas-Colell considers this target to be “intolerable” since it “asphyxiates” Catalonia. The Catalan Executive was waiting to find out this figure to approve its definitive budget for the current year, but considering the low deficit target it is now considering extending the 2012 budget for the whole of 2013 – as it has been doing so up until now. The Catalan Government will make the final decision on the issue next Tuesday. Furthermore, Mas-Colell warned that a €1.7 billion budget adjustment will be needed in 2014 that will be required to increase one-off revenue since the Catalan Government “cannot spend less than in 2013”.