Business

The Catalan and Valencian governments, together with social and economic representatives, have created a common front to push for the execution of the plan for the Mediterranean Corridor Railway. On Monday, they urged the Spanish Government to change its attitude and undertake pending investments within a “credible timeframe”. In a document presented after the bilateral summit celebrated at Valencia’s Generalitat Palace, the representatives demanded the realisation of the Corridor’s technical configuration and the designation of a Technical Coordinator in order to build a piece of infrastructure that should have a “high capacity” and be “efficient”. The delays in the construction of the infrastructure are affecting private investment: in Catalonia and Valencia pending investments are worth €300 million, according to the Catalan Minister for Planning and Sustainability, Josep Rull.

The Catalan Minister for Planning and Sustainability, Josep Rull, has pointed to Spain’s lack of investment in the Mediterranean Corridor as the main cause for the collapse of TP Ferro, the concessionaire for the new high-speed (HS) railway between Spain and France. The number of trains circulating on the railway in 2015 was lower than expected. The estimations were 19,000 trains per year, but in fact only 800 trains used the infrastructure. “This is the result of the delay in the planned investments”, Rull said and regretted the "lack of interest" from the Spanish Government in a piece of infrastructure of "vital" importance for Catalonia.

From digital health, to the Internet of Things (IoT), Artifical Intelligence (AI), virtual reality, AgTech and EdTech. These are the fields of the 15 Barcelona start-ups representing Catalonia at the Disrupt SF 2016 entrepreneurial event, taking place this week in San Francisco. The 15 Catalan firms have been selected from a total of 128 applicants. Catalonia Trade & Investment, Catalonia’s agency for economic promotion, together with the technology media Tech Crunch, were responsible for the decision and have organised the trade mission to California. The 15 companies will also be able to pitch their projects in front of 50 investors and US companies at a meeting on the 15^th of September at Samsung’s Silicon Valley facilities. 

Criteria Caixa, the industrial holding of ‘La Caixa’, and the oil company Repsol will sell 10% each of their share capital of Barcelona-based Gas Natural Fenosa to Global Infrastructure Partners (GIP) for a total of €3.802 billion. The agreement, signed this Monday, will allow Criteria to remain as the main shareholder of the gas company with a share of 24.4%. The president of Criteria and the ‘La Caixa’ bank foundation,the section of the biggest bank in Catalonia dedicated to social and cultural initiatives, Isidre Fainé, will be the new Chairman of the Board of Directors of Gas Natural Fenosa. Fainé was "satisfied" with the incorporation of GIP. “It is a valuable reinforcement to deal with the challenges that faces the hundred-year-old company”, he stated.

Barcelona El Prat Airport will be connected to Los Angeles, San Francisco, New York and Miami through direct flights operated by low-cost airline Norwegian. Thus, Barcelona will host the only direct route to San Francisco in the whole of Spain. The new connections will start working in June 2017 and from August onwards Norwegian will offer four weekly flights to New York, three to Los Angeles and San Francisco and two to Miami. In total 325,000 places will be offered in the first year, most of them, 175,000, to California. According to Norwegian’s CEO, Bjorn Kjos, the company is set to also offer other new routes from the Catalan airport. 

The new ‘Metropolis’ trains will be manufactured at the company factory in Santa Perpètua de Mogoda, in Barcelona. Alstom has signed a €200 million contract with Graña y Montero Ferrovías to supply 20 train sets (120 cars) for Line 1 of the Lima Metro, in Peru, and 19 additional new carriages to complete the existing train sets already in use on the line. The Catalan factory will design and manufacture the new carriages, which are inspired by the Barcelona Metro. With the new trains the Lima Metro will more than double its transportation capacity, from 20,000 passengers per hour to 48,000.

The annual rate of mortgage borrowing increased substantially in the last 12 months, thanks to increasing confidence in the economy. The average amount borrowed for a mortgage in Catalonia in June was €134,509, according to figures published by the National Institute of Statistics of Spain. This figure is higher than the average Spanish mortgage, which stands at €112,516. In total, the amount borrowed in Catalonia for mortgages in June was €559.7 million, a 72.7% increase in comparison to June 2015 and a 10.8% increase in comparison to May 2016. Up to 4,161 mortgages were sold in Catalonia in the first month of summer.

Catalonia continues to be the most attractive destination for international tourists travelling to Spain. Up to 25.3% of all foreign visitors stay in Catalonia, according to figures published on Tuesday, which also show a 4.7% increase in the number of tourists between January and July 2016. The majority of international tourists staying in Catalonia are French (23.5%) and British (10.6%). In August, most regions within Catalonia have been fully booked, with figures suggesting better results than in summer 2015.

The Catalan multinational, through its international power generation business company Global Power Generation (GPG), has been awarded its first wind farm contract in Australia. The 91-megawatt park will be constructed in the state of New South Wales, 90 kilometres from the capital city Canberra. Gas Natural will invest €120 million euros in the wind farm, which will be named Crookwell II and will be situated in one of the more environmentally friendly areas of Australia. The contract will last for 20 years. The wind farm will be operational in the second half of 2018, according to Gas Natural.

A new poll shows that tourists in the Catalan capital gave the city a score of 8.6 on a scale of 0 to 10. An almost excellent result, which is, however, overshadowed by concerns by those same visitors that the city attracts way too many people. In fact, 58% of those that took part in the poll consider Barcelona’s tourist spots overcrowded. On summer Sundays, up to 20,000 people arrive in Barcelona by cruise ship. The figure will peak on the 11th of September, when up to 28,100 people are expected to arrive by sea. The tourism poll was conducted in 2015 in different tourist areas, hotels and airports and ports of Barcelona. From those taking part, 47.5% were visiting the city for the first time, and 52.5% had been there before.

12.7% more passengers used Barcelona El Prat Airport’s facilities during the first half of 2016 than in the same period last year. According to data released by the Airports Council International (ACI) and adding the figures corresponding to July, 25,028,393 people used El Prat’s facilities in the first seven months of the year. Thus, Barcelona’s airport has the second-largest passenger growth in group 1, which includes those airports with more than 25 million passengers per year, only behind that of Dublin, which registered 13.4% growth. However, in June, El Prat was the European airport which saw the highest increase in the number of passengers (10%) and its pace of growth was double that of the European airport average. According to ACI these good results are mainly due to the high amount of low-cost flights operated to and from El Prat, which was double the amount operated from Madrid. Moreover, the number of movements from January to July reached 117,326, which represents 6.5% more than in the same period last year.

The Catalan Government and Barcelona’s City Hall will join efforts to house those companies which want to leave the UK due to Brexit. “We will specifically address entrepreneurs, start-ups and ICT companies”, explained Catalan Ministry for Business and Knowledge Jordi Baiget.“We to want tell British entrepreneurs and multinational companies that Barcelona and Catalonia are a great destination”, added Barcelona’s deputy Mayor, Jaume Collboni. More than 2,000 Catalan companies regularly export to the UK and 22.4% of Spanish exports to the state are from Catalonia. Regarding imports, the Barcelona area received 2.2 billion euros from UK-based companies in 2015, 5.8% more than the previous year. In June the Catalan Government also offered to host the headquarters of the European Medicines Agency, which is currently in London.

The number of people registered on the unemployment lists in Catalonia in July stood at 441,016 people, 9,044 fewer than in June, according to the Spanish Ministry of Employment and Social Security. July represents the sixth consecutive month in which the unemployment rate has decreased and has now returned to 2008 levels, in particular those of December of that year, when the number of unemployed in Catalonia stood at 423,232. Since 2010 unemployment has usually fallen in July, due to seasonal contracts and summer sales. However, this year not only the services but all economic sectors contributed to this decline. In the whole of Spain, the number of unemployed fell by 83,993 and totalled 3,683,061, the biggest decline in July since 1997.

Neither ‘Brexit’ nor the lack of a government in Spain seem to have affected the progress of the Catalan economy, which registered 3.5% growth at the end of the second quarter of 2016 compared to the same period last year. According to figures released this Thursday by the Catalan Finance Ministry and the Catalan Statistics Institute (Idescat), the pace of growth in  the second quarter was 0.8% in terms of GDP, the same figure registered in the previous quarter. Regarding the economic sectors, industry registered the highest growth, even higher than the Eurozone average. Considering these figures, the forecasts for the whole of 2016 made by the Catalan Department for Economy may have to be revised upwards, since in May the body estimated a 2.9% growth for the whole year.

The Port of Barcelona continues to break records. During the first half of 2016, the number of containers handled, a reliable indicator of economic activity, exceeded one million, the best figure ever registered for a six-month period. This represents a growth of 13% in comparison to the same period last year, according to Port de Barcelona’s President, Sixte Cambra. Freight traffic in the Port of Barcelona made up a total of 24.2 million tonnes, which is 4% more than the same period last year and the amount of exports grew by 54% in comparison to the record figure registered in 2008. According to Cambra, these figures “consolidate the recovery of freight traffic and accelerate the figures of the Port of Barcelona’s activity”.