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Spanish Prime Minister Mariano Rajoy’s refusal to negotiate and allow the Catalans a consultation vote on independence “undermines the legitimacy of the Spanish political system” and is a violation of Catalonia’s democratic “right to express its own voice”. Such is the conclusion of Huw Evans, Law Professor at the Cardiff Metropolitan University. In a report entitled Law and Legitimacy: The denial of the Catalan voice, published by the Brussels think tank Centre Maurits Coppieters, Evans argues that Rajoy could authorise a referendum without breaching the Constitution. He states that Madrid’s current attitude “restricts (and, also […] denies) the right of the Catalan people to democratically pursue” independence.

Antoni Abad, the Chairman of the Terrassa-based employer’s association Cecot, forecasts “a small growth” of Catalonia’s GDP in 2014. However, Abad also warned against “the fragility” of the current situation since economic recovery is just starting and indicators are posting positive data but still with manifold limitations. When asked about the possible consequences of the political situation in Spain, Abad insisted the Cecot members “are not afraid” of the self-determination consultation vote. He reminded Spain that consultations are “structural elements” of democratic life, adding he was hoping for “rationality” and “dialogue” to impose themselves in the political sphere. Abad also denied the words of the Spanish Minister for Home Affairs, Jorge Fernandez Diaz, stating that the independence issue had not created any “conflicts” in Catalan families.

The Catalan Government has welcomed the 138 proposals issued by a council of business associations, trade unions, academic experts and leading professionals, who form the so-called ‘Agreement for the Industry’ platform. The President of the Catalan Executive, Artur Mas, stated that those proposals are “a possible seed” for a broader agreement: a National Pact for the Industry that will define the priorities and main guidelines of Catalonia’s industrial policy for the next decade. The Catalan Minister for Business and Employment said that the 138 proposals coincide with “between 70 and 80%” of the Executive’s industrial policies. However he pointed out that the Government couldn’t bring all of them on board for budget or jurisdiction limitations.

The Catalan Government will file several formal demands for payment of the €2.02 billion the Spanish Government legally owes Catalonia from the 2008-2013 period. The money represents 1% of Catalonia’s GDP or 7% of the Catalan Government’s budget. According to the Statute of Autonomy, which was approved by the Spanish Parliament and came into force in 2006, the Spanish Government was obliged to invest a percentage equal to or higher than Catalonia’s share of Spain’s GDP between 2007 and 2013 in order to compensate for an historical lack of infrastructure investment. If it was not doing so, the Spanish Executive had to compensate Catalonia financially. The measure was adopted after exhaustive negotiations and was essential to the approval of this law by the Catalan people through a binding referendum. However, the Spanish Government never honoured it. Madrid compensated Catalonia for the lack of investment in 2007, but not for the remaining years.

The President of the Catalan Government, Artur Mas, insisted this Tuesday he will organise a self-determination vote within the legal framework on the date agreed upon by four political groups 3 weeks ago. In a press conference following the first Cabinet Meeting of 2014, Mas ruled out the possibility of making changes in the government he chairs on the short-term, after speculations that the Catalan Left-Wing Independence Party (ERC) could sit in the Cabinet, formed by members from the Centre-Right Catalan Nationalist Coalition (CiU) and independents. In addition, he identified “a cross slope” in the economic, social and political context, referring to a slight recovery, after 6 “terrible and fearsome years”.

The Catalan President has sent a letter to the international leaders, detailing the agreement to hold a referendum in Catalonia, and urging them to encourage this “peaceful, democratic, transparent and democratic process”. In the letter, Mas explains that he is seeking to reach an agreement with the Spanish Government so the consultation can take place. He also states that there are five “legal and constitutional options” to authorize it.

The Catalan Government deficit amounted to 1.6% of the GDP between January and October, and consequently missed the 1.58% target imposed by the Spanish Government. Madrid was also not able to comply with the limit set for the central government, and had a deficit of 3.96% in November, higher than the 3.8% required for the whole year. The Spanish autonomous communities’ total deficit amounted to 1.12% of the GDP in October, which was in line with the yearly objectives, according to the Spanish Government. When considering the deficit of the autonomous communities, the Spanish state and the Social Security, it amounted to 4.87% of the GDP. The payments of the banking bail-out will also be included in this figure at the end of the year. Brussels had set a global limit of 6.5% for Spain in 2013.

The Catalan President, Artur Mas, urged Spain “to listen to the voice of the Catalan people” by allowing the referendum on independence to take place in 2014. In his New Year’s Eve Speech, Mas said that “there is nothing as democratic” as deciding the future of the country “in the ballot box”. “Solving the big issues in the polls should not cause any qualms nor fears, and it is obvious that our future and the relationship that we should have with Spain and Europe is a tremendously big issue”, he said in a speech broadcasted by Catalan Television on Monday.

“There is only one reform of the Constitution and it the one we have already agreed on”, stated the Secretary General of the Spanish Socialist Party (PSOE), Alfredo Pérez Rubalcaba, in response to the Catalan Socialists’ proposal to approve a “singular redefinition” of Catalonia’s “fitting” within Spain. Rubalcaba said that the Catalan Socialist Party (PSC) – which is member of the PSOE – had not sent him any proposal on this issue. “They should explain it to me. I do not know anything about it”, he said when he was asked about the PSC’s proposal. In an exclusive interview with the CNA, the PSC’s Spokesperson at the Catalan Parliament, Maurici Lucena, explained that a temporary measure should be adopted urgently to better fit Catalonia within Spain while waiting for a global reform of the Spanish Constitution, a lengthy process that can take years.

In an interview with the Italian newspaper La Repubblica, the President of the Catalan Government, Artur Mas, emphasised that an independent Catalonia would “want to remain” within the European Union. Mas highlighted the need to reach “a transition agreement” to ensure the uninterrupted continuity of an independent Catalonia within “the Eurozone, the EU, the Schengen Area and the NATO”. In addition, Mas insisted that, if the Spanish Government bans the self-determination referendum, he will have to call plebiscitary elections to give Catalans the opportunity to vote on their future. Besides, Mas announced he “will quit politics soon”; “at most” he will be in office for just “another term” to “push forward” Catalonia’s self-determination process.

Catalonia has confirmed its fourth place in the Autonomous Community rankings of GDP per capita, according to figures released by the Spanish Institute of Statistics (INE). This data from 2012 reveals that the Basque Country is still the leading area in Spain, followed by the region of Madrid and Navarre. The figures indicate that the GDP per capita of Catalonia amounted to €26,412 in 2012, meaning 0.7 % less than in 2011. In 2012, the wealth generated by the Catalans totalled €192,535 million, 18.7 % of the Spanish GDP, above the 2011 figures when Catalonia contributed to 18.6 % of the Spanish economy.

The Catalan Socialist Party (PSC) proposes a “singular redefinition” of Catalonia’s “fitting” within Spain that should be accomplished urgently while waiting for a global reform of the Spanish Constitution. Maurici Lucena, the PSC Spokesperson at the Catalan Parliament, told the CNA that this temporary measure should avoid “the collision” between the two sides. The measure should “shield” Catalonia’s powers, language and culture from recentralisation and homogenisation attempts, and it would also include a fairer fiscal scheme. In the coming weeks, the PSC will try to convince the PSOE – to which is federated – about it. This proposal is quite similar to the Catalan Statute of Autonomy that was approved in 2006, but trimmed in 2010 by the Constitutional Court following an appeal from the People’s Party (PP) – which now runs the Spanish Government.

The Catalan Government has finally approved a decree protecting families in need from having their household electricity and gas cut off by energy supply companies during the winter months. The measure aims to fight the so-called ‘energy povert’: people who cannot afford to pay for their energy bills because they do not get minimum income. This way, the Catalan Government ensures they can continue having heating and using their cooking devices during the coldest period of the year. Energy companies will not be able to cut off supplies to these families between November and March. Besides, the Catalan Government has also approved a temporary budget extension for the coming weeks, since the People’s  Party (PP) – which runs the Spanish Executive – has blocked the approval of the 2014 budget.

The Catalan Government’s Advisory Council for the National Transition (CATN), formed of renowned independent experts, emphasised that Catalonia’s independence from Spain would not represent breaking their affective and historical bounds. Furthermore, they insisted on the need to continue and even to increase cooperation “based on a new principle of equality and mutual respect between both parties”. They have suggested different ways to cooperate, through different structures. For instance, they proposed the creation of the ‘Iberian Council’ bringing together Catalonia and Spain, as well as Portugal and Andorra if they wished to, which would mirror the Nordic Council or the Benelux. Furthermore, the CATN issued three other reports, including a detailed analysis of Catalonia’s tax agency.

The Catalan Government put 4 buildings up for auction this Friday, following a plan to rationalise the spaces it uses, reduce spending and increase revenue in order to reduce public deficit. The headquarters of the Catalan Finance Ministry, located in a 8,000 square metre Art-Nouveau building in Barcelona’s Rambla Catalunya, has been bought by an Italian pharmaceutical company through FINAF 92 for €23.2 million. The other building, with a surface of 7,200 square metres, was used by the Catalan Police and is located in front of Barcelona’s Ciutadella Park. It has been bought by the German hotel company MO Düsseldorf Immermannstrasse GmbH & CO. KG for €14.1 million. On Thursday, the Catalan Government announced a plan to reduce its office space by 45% in the coming year by concentrating services. The plan includes selling the most attractive buildings.