european union

Willie Walsh, the CEO of IAG – the group formed by British Airways and Iberia, guaranteed that its subsidiary airline Vueling will continue having Barcelona El Prat Airport as its main base if Catalonia becomes an independent country and even if it is forced to abandon the European Union. “We will continue in Barcelona”, he emphasised on Tuesday in a meeting with press reporters from the Chinese city of Chengdu, according to an article published by Barcelona-based newspaper La Vanguardia. Walsh was in China as British Airways was unveiling a new route linking this city with London.

Brussels confirmed on Friday the possibility of continuing to have the Euro as currency while not being part of the European Union. On Thursday the Catalan President, Artur Mas, emphasised that “Catalonia will have the Euro as its currency” whatever happens regarding its independence from Spain. Mas’ statement was immediately criticised by Madrid-based media, which are completely opposed to Catalonia’s self-determination and are arguing against it. In the last few days, a debate has been launched about whether an independent Catalonia would still be part of the EU. The Commission Spokesperson for Economic and Monetary Affairs, Simon O’Connor, emphasised that it is possible for a state to use the Euro as its currency independently of its EU membership. He named the examples of Monaco, Andorra and Montenegro, among others.

Following a decade of significant increases in the amount of foreign nationals in Catalonia, it appears that many are beginning to leave as job opportunities dry up. In 2000, the percentage of foreign nationals living in Catalonia was 2.9%, while just over a decade later in 2011 this figure had increased to 15.73%. However, in the past couple of years the amount is beginning to reduce: between 2009 and 2013, 44,000 foreign nationals left Catalonia. According to the Spokesperson of non-governmental organisation SOS Racisme, Jose Peñín, immigrants are leaving as “they have less stable contracts and work in more abusive conditions”.

The Catalan company has signed an agreement with the Shah Deniz consortium for a 25-year period. The Azerbaijani company will supply 1bcm of natural gas per year. The agreement is conditional on the final decision on the project investment, a step planned for later this year. The development of this project will open a new supply route to Europe through the ‘Southern Corridor’, which will allow Europe to access gas reserves in the Caspian Sea area. Barcelona-based Gas Natural Fenosa will receive the gas in facilities based in Italy, one end of the European gas pipeline passing through Georgia, Turkey, Greece, Albania, and crossing the Adriatic Sea. The Catalan company said that this supply will consolidate its presence and strengthen its gas supply business in Italy.

The President of the Catalan Government, Artur Mas, wanted to clarify some doubts about Catalonia’s EU membership in the event of becoming an independent state, specifically regarding economic issues. The Catalan Government is insisting that the treaties do not say that a separated part would automatically be expelled from the EU and that the issue would require a political negotiation. However, the Catalan President emphasised on Thursday that what is crystal clear is that “whatever Catalonia decides [regarding its independence from Spain], it will have the Euro as its currency”. Mas was answering the international investors behind BCN World, a €4.5 billion leisure resort. On Wednesday they stated that they do not care whether Catalonia remains in Spain or not, but they do care whether it has the euro and remains within the EU internal market.

The European Commissioner for Internal Market and Services, Michel Barnier, repeated on Wednesday the answer given by Romano Prodi on a question about Algeria and its hypothetical EU membership on the basis of its French past: “if a region separates itself from a Member State, it quits de facto the European Union”. Barnier emphasised that this is a “general” opinion. However, he added that the European Commission will only issue its definitive opinion about an independent Catalonia on the basis of “a precise scenario” and refuses to “speculate” about the Catalan case. Besides, the President of the Catalan Government, Artur Mas, affirmed that questioning Catalonia’s “economic integration within the EU” follows “controversies stirred up by interested parties”.

The Catalan Presidency Minister, Francesc Homs, answered the statement made by the Spanish Vice President of the European Commission, Joaquín Almunía, which was later backed by the Spokesperson of the international institution. Homs insisted that there is no automatic mechanism in the EU treaties to kick out a separated part of a Member State, although neither are there automatic mechanisms to ensure it remains within the EU. The Catalan Government’s Spokesperson stated that everything depends on the political will and negotiations. In fact, he hoped to hold such talks at Spanish level but also including the EU institutions, “because too many interests are at stake”. He added that the most pressing question is whether the Catalan people can hold a self-determination referendum, and that the EU debate is used as a distraction.

In two exclusive interviews with the Catalan News Agency, the Prime Ministers of Latvia and Lithuania answered questions on Catalonia’s independence and self-determination process. The statements were badly received by the Spanish Government. The Spanish Foreign Affairs Minister summoned the Latvian and Lithuanian ambassadors in Madrid and met with them on Monday morning. Despite the video showing how the Lithuanian PM literally stated “each country has to find its own way” and “has the right to self-determination” referring to Catalonia, the country’s Foreign Affairs Ministry issued a note stating that the press had offered a “biased and wrong interpretation”. Additionally, Latvia’s Foreign Affairs Ministry also issued a note saying the interpretation was “biased”. However, at the same time, a Spokesperson of the Latvian PM stated he had nothing “to take back” from the interview, in which he was asked about recognising an independent Catalonia and stated “if there is legitimacy in their process, then I would say, theoretically, 'why not?'”.

Last October, the Vice President of the European Commission, Joaquin Almunia, emphasised “it would be dishonest [...] to give a strict answer” as to whether a separated part of a Member State would still be part of the EU. Back then, Almunia insisted that “the question is not a black and white one” and “it has many nuances”. However, this Monday he stated that the “separated part of a Member State would no longer be part of the European Union”. A few hours later, the European Commission’s Spokesperson, Pia Ahrenkilde, backed Almunia’s statements. The issue comes after last week’s 400-kilometre-long human chain supporting Catalonia’s independence from Spain, which was formed by 1.6 million citizens, and Madrid’s diplomatic offensive, including the controversy with Latvia and Lithuania.

In an exclusive interview with the CNA, the Prime Minister of Latvia, Valdis Dombrovskis, was asked if his country would recognise an independent Catalonia. Dombrovskis answered: “if there is legitimacy in their process, then I would say, theoretically, 'why not?'”, opening the door to  recognition. The statement has been badly received in Madrid and the Spanish Foreign Affairs Minister, José Manuel García Margallo, requested an urgent meeting with Latvia’s Ambassador in Madrid in order to clarify the issue. The Spanish Deputy Minister for the European Union, Iñigo Méndez de Vigo, will also be present at the meeting.

In an exclusive interview with the CNA, the Prime Minister of Latvia, Valdis Dombrovskis, stated that the ‘Catalan Way towards independence’ human chain is a “powerful signal” that is “worth paying attention to”. When asked if Riga would recognise an independent Catalonia, Dombrovskis stated that “if there is legitimacy in their process, then I would say, theoretically, why not”. He highlighted how “we should look at options” on how to deal with the independence demands that exist in Catalonia following a 1.6 million people human chain that took place on Wednesday. However, he also warned that if Catalans decided upon a unilateral declaration of independence, it would be “more complicated”, although he does not rule out the possibility of gathering international recognition.

The Catalan Finance Minister, Andreu Mas-Colell, accuses the Spanish Government of “asphyxiating” the Autonomous Communities. The 1.58% deficit target imposed to the Catalan Government represents €2.6 billion of further budget adjustment compared to last year’s budget, which ended with a 1.96% deficit. Mas-Colell denounced that the Spanish Executive is “keeping for itself the greatest share of the deficit pie”, while it is only responsible for 50% of Spain’s public spending. The Spanish Government is setting itself a deficit target of 5.2% for 2013 and most of the flexibility allowed by the European Union, which authorised a 6.5% deficit for Spain’s total public sector. Meanwhile, the Autonomous Communities have a deficit target 4 times stricter, although they manage 36% of Spain’s total public spending as well as basic services such as healthcare and education.

Furthermore the Catalan multinational announced it was expanding its shares within the MedGaz pipeline to 14.9%, which is one of the five pipelines that transport Northern African gas to Europe. The natural gas company reported that its profit levels for the first half of this year have increased by 1.7% from 2012 to €780 million. The Catalan multinational company highlighted how this increase was the result of the international growth of the industry which counteracted the relative stagnation in the domestic market. Gas Natural Fenosa’s EBITDA was also up on last year and totalled €2.63 billion, representing an increase of 2.9% compared to the same period last year.

The winner of the 25^th Premi Internacional Catalunya, Gro Harlem Brundtland has explained how receiving the award with Pakistani education activist Malala Yousafzai is “special as both are fighting for women’s rights”. The former Prime Minister of Norway and ex Secretary General of the World Health Organisation also stated how it would be “very strange” if Catalonia were to leave the EU in the event of a hypothetical independence from Spain. Brundtland also encourages Catalonia to invest and establish renewable energy systems as well as gender equality quotas in both politics and business.

France will not allow High-Speed Trains from Barcelona to Central and Northern Europe to run at their maximum velocity since it refuses to build the 156 kilometre high-speed railway stretch between Perpignan and Montpellier. This infrastructure has been declared to be one of the European Union’s strategic transport priorities, since it connects the Iberian Peninsula with the rest of the continent via the Mediterranean Railway Corridor. Many years ago, the French Government promised to build this stretch before 2020, an engagement reconfirmed by Sarkozy’s executive. However, the current Prime Minister Jean-Marc Ayrault has paused work on the project and delayed it until after 2030.