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The Catalan economy remains in recession and decreased by 1.1% compared to last year. Although tourism and the foreign sectors have seen an increase, internal demand has been reduced, decreasing business in the industrial, construction and services sectors. The number of foreign tourists increased by 12.3% and tourist spending increased by 14.3%. In both cases, the percentages are much higher than the figures for Spain as a whole (2.9% and 5.6% respectively).

Barça won the Paris Trophy beating PSG on penalties after Messi and Rafinha had scored to make it 2-2 at full time. After the friendlies in Hamburg (1-2) and Tangier (0-8), this was a tougher test for Tito Villanova’s men, as Carlos Ancelotti’s much reinforced PSG , who are looking to be a force in the European game this coming season, held them to a 2-2 draw at the Parc de Principes, before the visitors won on penalties.

The opera ‘Don Giovanni’ by Mozart will be staged in Catalonia at the Castell de Peralada Festival in the Empordà County, on the Costa Brava. The renowned opera tells the story of a man living on the edge in a constant search without end, with allusions to sadism and immortality. First premiered in 1787 in Prague, this modern production sill reflects many aspects of society and has an impressive cast including the famous baritone Carlos Álvarez from Málaga.

The Spanish Prime Minister, Mariano Rajoy, has announced further budget cuts for 2013 and 2014, totalling an additional €89.1 billion. These budget cuts are to be added to those implemented between 2010 and 2012. Autonomous Communities will have to cut their budget by an additional €19 billion in 2013 and 2014, which is added to the €15 billion already announced in Spring affecting education and healthcare. However, no details of the €19 billion plan were provided. Rajoy stated that in 2014 the Spanish economy will grow by 1.2%, leaving the recession behind. With this plan, Spain’s public deficit for 2013 will be set at 4.5% and at 2.8% for 2014.

In an interview with Catalonia’s Public Radio Broadcaster, the Spokesperson for the Council of the European Union, Cristina Gallach said that the ECB will offer “unlimited” backing although the Bundesbank “doesn’t want this in any way”. Gallach takes the announcement by the President of European Central Bank, Mario Draghi, as a direct challenge to Germany. Gallach also urged the Catalan Government to clarify Catalonia’s situation in Brussels, stating that the European Institutions have entrenched the message that the autonomous communities are primarily responsible for the Spanish deficit.

The Catalan Social Affairs Minister, Josep Lluís Cleries, stated before the Catalan Parliament that €70 million had not been paid on time to health and social care organisations this August. He said he was sorry for the situation but underlined that the €50 million destined for private citizens had been paid. The Catalan Finance Minister, Andreu Mas-Colell, emphasised that, if the Spanish Government does not activate the Liquidity Fund for the Autonomous Communities and similar measures, he cannot guarantee the situation will not be repeated in the future. However, he said to be confident the Spanish Government will put these mechanisms in place soon. The Left-Wing opposition parties had requested the urgent hearings.

Unemployment dropped in July by 784 people, which represents a 0.13% decrease compared to a month ago. It is the fifth consecutive month that the number of unemployed people has decreased in Catalonia, reaching 614,792 jobseekers. In the whole of Spain, unemployment decreased for the fourth month in a row, dropping by 0.6%. Long term unemployment and youth unemployment have decreased in Catalonia. However, compared to 12 months ago, general unemployment has increased by 7.8%. In addition, the number of indefinite new contracts dropped by 1.3% compared to a year ago.

Firefighters from Catalonia will be sharing their knowledge and experience of different types of fire. Catalan firefighters have experience with various kinds of fire because of Catalonia’s geographic diversity. The organisers of the bespoke courses designed for the varied conditions in Ireland, France and Wales, have stated that the accumulated experience “should not just remain in Catalonia but be taught internationally”.

The police have started an initiative to crack down on illegal services on Barcelona’s beaches, visited by 3.5 million people last summer. Between June and July, the police have dealt with nearly 4,500 complaints concerning street vendors, 93% more than in 2011. The operations have a dedicated unit of 70 officers to enforce the regulations on the beaches, working both in uniform and in plain clothes.

The Catalan Minister for Territory and Sustainability, Lluís Recoder, has emphasised that “not attending a meeting as a protest does not mean not honouring the agreements”. Recoder was answering the Spanish Finance Minister, Cristóbal Montoro, who emphasised that all the Autonomies are obliged to meet the deficit and debt targets. Recoder said that Montoro’s words were not appropriate and unfair, since Catalonia has been leading austerity reforms and budget cuts in Spain.

Catalan filmmaker David Victori’s short film has passed a rigorous selection process and will be shown at the Venice Film Festival. His submission, ‘La Culpa’ which deals with the emotions of guilt and revenge, participated in ‘Your Film Festival’ that is organised by Youtube. Victori’s submission is one of the ten short-listed, out of 15,000 original entries. The winner will receive a prize of $500,000 for the production of a short film.

Catalonia’s Executive blames the Spanish Government for not having transferred all this month’s economic resources and creating serious financial problems for the Autonomies, compelled to pay other financial obligations first. Social care organisations state that the service is guaranteed but that some employees might not receive their salary in time. In addition, despite that they are looking for solutions with the Catalan Government, they criticise the bad planning and are having to look for last minute solutions. Catalonia’s opposition parties have forced the Catalan Finance and Social Affairs Ministers to explain the situation to the Catalan Parliament.

The Catalan airline Vueling, based in Barcelona, increased by 16.2% the number of flights compared to a year ago. The airline has defied the Spanish market trend with an increase in its global volume of passengers by nearly 19%. Vueling attributes this increase to a growth in the company’s activity and a rise in its flight occupation rate, which reached 75.5%.

The FC Barcelona’s forward will increase his work rate and physical conditioning in the team’s upcoming training sessions in order to be match fit as soon as possible. Doctors Cugat and Pruna note that “he’s doing very well medically, but he’s not in optimal physical condition yet”. Villa was injured last December, in the semifinals of the Club World Cup.

Andalusia quits the meeting after one hour. For the first time in democracy, the Catalan Finance Minister did not attend the Fiscal and Financial Policy Council (CPFF), where the Autonomous Community governments and the Spanish Executive discuss the regions’ financial situation and funding. Catalonia refused to attend the CPFF as decisions were taken beforehand by the People’s Party, which runs the Spanish Government and most of the Autonomies for which CPFF decisions are binding. In addition, the Catalan Finance Minister refused to attend the meeting due to Spanish Government’s unilateral decision to oblige the Autonomies to meet a stricter deficit target in 2013, passing from the planned 1.1% to 0.7%. He sent a letter asking for the same flexibility the European Union is giving to Spain.