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Rating agency Moody’s warns that Catalan independence from Spain might have “a major adverse impact on Spain’s economy” but also that “Catalonia itself could also suffer” if the break–up is not friendly. In a forecast about the Spanish economy published this week, the New York-based company analyses potential risks that might damage the expected economic recovery. Moody’s praise the high level of exports, based on a higher competitiveness reached by lowering salaries. However, the report, signed by Zach Witton, highlights that “debt reduction by households and businesses, elevated unemployment, the housing market correction, and tight credit will drag on growth”.

Referring to yesterday’s announcement, Carles Constante, the Director General for Regulation, Planning and Health Resources at the Catalan Ministry of Health, said that the Director of Barcelona’s Centre for Regenerative Medicine (CMRB), Juan Carlos Izpisúa had resigned due to the need for a more direct management. Constante explained that even though research centres now had a “high level of interconnection and ongoing dialogue”, they also needed “direction, management and a drive of energy within the centre itself, something that could be difficult to maintain from a distance”. Constante stressed that Izpisúa working from the United States for most of the time had been the main reason for him stepping down.

The Catalan Parliament has approved a resolution to formally request the Spanish Parliament to transfer the powers to organise referendums to the Catalan Government, following Article 150.2 of the Constitution. This mechanism will allow the Catalan Executive to directly call a self-determination referendum, a similar formula to the Scotland case. 87 MPs (64.4% of the Parliament) have backed the proposal and 43 MPs (31.8%) have voted against it. The 3 MPs of the radical left-wing and independence party CUP have abstained, arguing they do not think Spain has anything to say on Catalonia’s self-determination. Furthermore, 3 MPs from the Catalan Socialist Party (PSC) have also backed the text, breaking the party leadership’s instructions. This vote is a true earthquake for the PSC, which might eventually split up.

By the end of December, Catalonia registered a 0.2% annual inflation rate, according to the Spanish Statistics Institute (INE). This figure is the lowest recorded in Catalonia at the end of the year since December 1978, when the INE started providing figures for each of the Autonomous Communities. In the whole of Spain, prices ended 2013 posting an annual inflation rate of 0.3%, the lowest registered on a month of December since 1961; the very year such figures started being released. However, these are not the lowest annual inflation rates, since the record was set in July 2009, with a -0.9% annual rate in Catalonia. In monthly terms, prices increased by 0.2% in December in Catalonia on November figures and by 0.1% in the whole of Spain. The price increase was mostly due to the growth in oil prices, while leisure, culture and clothing helped minimising the general increase.

The Mayor of Lleida, Angel Ros, announced he was quitting the Catalan Parliament since he rejects voting against self-determination on Thursday, as imposed by the leadership of the Catalan Socialist Party (PSC). 4 other MPs might break from the party lines as well and a 6^th one - who had expressed serious doubts - finally announced he would follow the leadership instructions. They represent 30% of the PSC MPs, so their ‘rebellion’ is far from being an anecdote. In fact, the party leadership warned them they might even end up being expelled if they were breaking the ranks on this crucial vote. On Thursday, the Catalan Parliament will vote on an initiative asking the Spanish Parliament to transfer the powers to organise a referendum to the Catalan Government, following Article 150.2 of the Spanish Constitution. This formula – similar to the one used in Scotland – would enable the organisation of a legal self-determination referendum in Catalonia, something the PSC explicitly promised in the last elections but is now rejecting.

FC Barcelona have agreed to renew Marc Bartra’s contract until June 30, 2017. The defender will sign the new contract in the coming weeks and his buy-out clause will be set at 25 million euros. Bartra, who started playing in Barça’s youth academy in 2002, made his debut for the first team on February 14, 2010, away to Altético Madrid. From that point on he combined his first team work with his reserve team duties. He was promoted to the first team in the 2012/13 season. This year, Marc Bartra has progressively earned Tata Martino’s confidence thanks to his good performances on the pitch. He’s featured in 14 matches this season and he’s scored one goal. This year, Marc Bartra has progressively earned Tata Martino’s confidence thanks to his good performances on the pitch. He’s featured in 14 matches this season and he’s scored one goal.

The Director of Barcelona’s Centre for Regenerative Medicine (CMRB), world-famous scientist Juan Carlos Izpisúa, resigned due to the lack of financial and political support from both Spanish and Catalan Governments. Such news was first published by Spanish newspaper ‘El País’ and then confirmed by sources in the research centre. Internationally, Izpisúa is considered to be one of the most esteemed and learned scientists in the field of stem cells. With the Director stepping down, the CMRB could well lose most of its current projects. Indeed, 18 of the 21 projects are the intellectual property of Izpisúa and might no longer be carried out in the Barcelona-based research centre if Izpisúa quit.

The Catalan Government accuses Madrid of continued “prejudices” since “appealing against” a measure “the very next minute” after it is announced “does not leave time to fully analyse it” and therefore “does not respect the rule of law”. A majority of Catalan parties is proposing a self-determination vote for the 9^th of November in accordance with the legal framework. There are 5 different ways to legally organise such a vote according to Constitutional experts. However, the Spanish Government is insisting that such a vote is illegal. The Spanish Justice Minister, Alberto Ruiz Gallardón stated on Tuesday: “if Mas [the Catalan President] signs a decree calling the consultation vote instead of [only] resigning himself to giving a statement, the very next minute, this decree will be taken to the Constitutional Court”. Furthermore, he added that “there is no doubt” that the vote “will be suspended” by the Court.

The People’s Party (PP), which runs the Spanish Government and holds an absolute majority in the Parliament and Senate, closed the door on launching a broad debate on Spain’s territorial organisation and on reforming the Constitution accordingly. The objective of this reform would be to keep Catalonia within Spain by answering some of the Catalan claims and working towards an improved relationship. “We are not willing to open debates that divide the Spaniards”, stated Alfonso Alonso, the PP Spokesperson at the Spanish Parliament. The Secretary General of the Spanish Socialist Party (PSOE), Alfredo Pérez Rubalcaba, had sent a letter to the President of the Spanish Parliament, asking him to create “a body” to debate on a broad territorial reform.

In the coming weeks, the management of Volkswagen Group should decide where to produce its latest SUV model, designed in the SEAT Technical Centre in Martorell (Greater Barcelona) and featuring two versions, one for the Catalan brand and the other one for Skoda. The President of the SEAT Workers Committee in Martorell, Matias Carnero, argued that the Catalonia-based factory was the most competitive to produce the vehicle. These past weeks, some sources have asserted that Martorell’s main rival, the Skoda plant in the Czech Republic, would ultimately be chosen. Indeed, it is believed that the President of SEAT Jürgen Stackmann hinted at such a fact in several internal meetings. However, Matias Carnero insisted that the Martorell factory had never been completely ruled out.

The Catalan Government Spokesperson, Francesc Homs, has ironically stated that the situation in Catalonia “must be the most international of political domestic issues in the wide world”, if the Spanish PM Mariano Rajoy is talking about it before the US President. Homs exclaimed: “every time, people say it is an internal issue and that it would be a mistake to treat it internationally, but Rajoy cannot stop talking about it in his public appearances”. Homs praised the international community for their silence on the Catalan issue, as they have likely been “pressured” by Spain to voice their disapproval. However, he did not directly refer to Barack Obama, who had avoided commenting on Catalonia’s potential independence at the White House press conference on Monday evening.

Dani Alves, Xavi Hernández, Andrés Iniesta and Leo Messi were yesterday named as part of the FIFA/FIFPro World XI 2013 - a team chosen by more than 50,000 players from around the globe. With four players in the side, Barça were once again the club with most representatives. FC Barcelona have been the team providing most players to the World XI for the last 8 years (though they shared that honour with Real Madrid in 2012, when both sides provided 5 players each). Leo Messi has appeared in each of the last 7 selections and Xavi in the last 6.

The “very moderate” growth expectations for 2014, between 0.5% and 1%, will make it “difficult” for the unemployment rates to fall below the current 27%. This was the conclusion of the 2014 Economic Report of Barcelona-based ESADE, one of the top business schools in the world. The main author of the report stressed that this “slow and costly” growth should contribute only in a “very reduced” way to creating new jobs in 2014. However, he also explained that the Labour Market Reform would have positive effects on employment levels in the medium and long term. The study indicates that consumption in 2014 will “remain restricted” due to the high unemployment rates and reduced wages.

Next to the Spanish Prime Minister Mariano Rajoy (who went to the White House), the President of the United States, Barack Obama, did not talk about Catalonia despite being asked about it directly by a journalist. Obama did not repeat the formula expressed by other international leaders – it is Spain’s internal matter – but instead preferred to avoid the issue. He did not explicitly back the Spanish PM, despite the fact that Rajoy had stated, only a few minutes earlier, that “Catalonia’s independence will not happen”. Rajoy’s meeting with Obama and the following press conference at the White House were also controversial because the Spanish Government banned several media that were covering the trip and only allowed one Catalan newspaper to attend it.

During the Congress of the International Society for the Performing Arts (ISPA) in New York, the managers of the Bescanó Theatre (Northern Catalonia) will discuss their peculiar protest against the Spanish Government’s VAT increase on cultural products from 8% to 21%. In November 2012, instead of selling traditional tickets at a higher price or lowering their profit margin, the Bescanó Theatre managers decided to sell carrots to their audience, due to the lower VAT on fresh food. Spectators bought carrots for a price equal to the usual entrance fee and were gifted a theatre ticket in exchange. This ‘carrot rebellion’ as well as the “devastating” consequences of the VAT increase on the performing arts in Spain will be addressed on the 15^th of January.