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The Spanish Prime Minister, Mariano Rajoy, has accepted the offer sent by the new Catalan President to talk about Catalonia’s claims, while keeping them “always within the Constitution”. Furthermore, he has rejected the possibility of modifying the 0.7% deficit target imposed on the Autonomous Communities for 2013. The Catalan Finance Minister, Andreu Mas-Colell, explained that, if the payment of financial interest is excluded, meeting next year’s 0.7% deficit target represents a budget surplus, which “makes no sense from an economic point of view in a context of recession”. Mas-Colell proposed that the Autonomous Communities meet a 1.5% deficit target in 2013, as they represent more than a third of Spain’s total public expenditure and Spain has been authorised a total deficit target of 4.5%.

The President of the Catalan Government has formed a new Cabinet with more political weight controlled by some of the people closest to him, such as Francesc Homs and Germà Gordó, who have been promoted. Half of the previous ministers will continue in the same position, such as the Vice-President Joana Ortega and the Finance Minister Andreu Mas-Colell. The new Executive combines a few Social-Democrat figures – as a gesture towards the Left-Wing Catalan Independence Party (ERC) – with members of the Christian-Democrat side of the governing Centre-Right Catalan Nationalist Coalition (CiU), in order to respect the internal equilibrium. The new Government has the objectives of organising the self-determination vote, reducing the public deficit and reactivating the economy.

Artur Mas, leader of the Centre-Right Catalan Nationalist Coalition (CiU), has sworn the oath as President of the Catalan Government again, two years after he did it for the first time. After swearing office, Mas delivered a long speech in which he asked Spain to not put the will of Catalans to freely decide on their own future “behind bars”. He also compared Spain and Catalonia’s relations with “two boats” following a “collision course”. Mas stated that he is ready “to change direction” because otherwise “Catalonia will be adrift, and when you are adrift, you are the most likely to crash against the rocks”. The Spanish Finance Minister, Cristóbal Montoro, was present at the ceremony as the highest representative of the Spanish Government.

The Catalan Parliament has voted Artur Mas, leader of the Centre-Right Catalan Nationalist Coalition (CiU), in as President of the Catalan Government with the votes of his own group and those of the Left-Wing Catalan Independence Party (ERC). Mas has been re-elected in the first vote with an absolute majority of 71 affirmative votes from the 135 MPs. The rest of the opposition voted against him for two different main reasons: either because they opposed the budget cuts despite supporting the organisation of a self-determination referendum or because they opposed Catalonia’s self-determination altogether. Mas based his campaign on two main pillars: fighting the economic recession and the public finance crisis and pursuing “Catalonia’s national transition”.

The leader of the Centre-Right Catalan Nationalist Coalition (CiU) and candidate for re-election to be President of the Catalan Government, Artur Mas, stated that he will keep the offer he made to the other parties supporting the celebration of a self-determination vote to join the government open until the end of the legislative term. The offer is due to “the hardness of the situation and the magnitude of the challenges to be faced”. The challenges are “the worst part of the economic recession”, “the crisis of public finances” and “the country’s greatest political operation of the last three centuries”. He also called for a summit to agree on the “impassable limits” of the Welfare state, as further budget cuts will be required.

Artur Mas, the leader of the Centre-Right Catalan Nationalist Coalition (CiU), and Oriol Junqueras, President of the Left-Wing Catalan Independence Party (ERC), have signed the parliamentary stability agreement, which includes the call for a self-determination vote by citizens and the modification of taxation in order to increase revenue. Mas will be re-elected President of the Catalan Government and the ERC will not sit in the Executive but will offer parliamentary support on the agreed issues. The CiU and the ERC are asking for other parties to add their support to the self-determination vote. In addition, they have stated that the taxes created with the sole aim of collecting more money will be temporary. Despite the electoral mandate, the Spanish Government totally opposes the referendum and is threatening the Catalan Executive with economic asphyxia.

The Centre-Right Catalan Nationalist Coalition (CiU) and the Left-Wing Catalan Independence Party (ERC) have reached a definitive agreement ensuring the next Catalan Government parliamentary stability to approve the main laws. The CiU leader Artur Mas will be re-elected President of the Catalan Government with the ERC’s vote in the Catalan Parliament by the end of the week. However, the ERC will not sit in the Cabinet and will only offer support on the agreed issues. The last point blocking the agreement was the CiU’s refusal to set a specific date for a self-determination referendum. Finally, they have agreed on calling for a citizen vote on Catalonia’s independence from Spain in 2014. However, the CiU has managed to include a clause postponing the voting call if both parties explicitly agree to do so.

The 10th legislative term of the Catalan Parliament kicked off with the election of the chamber’s Bureau, a preliminary step before voting for the President of the Catalan Government. The Speaker will now hold talks with party leaders to analyse support and designate a candidate for Catalan President. Following last week’s agreement among 5 of the 7 parties sitting in the chamber, Núria de Gispert, from the Centre-Right Catalan Nationalist Coalition (CiU), has been re-elected as President of the Catalan Parliament. The CiU, the Left-Wing Catalan Independence Party (ERC), the Catalan Socialists (PSC), the People’s Party (PP) and the Catalan Green Socialists and Communists (ICV-EUiA) have split the rest of the Bureau’s offices. The two smallest parties, the anti-Catalan nationalism ‘Ciutadans’ and the radical left-wing and independence party CUP have been left out of the Bureau.

Holding the self-determination referendum before 2015 and certain aspects of the fiscal policy are the final obstacles to a definitive agreement between the Centre-Right Catalan Nationalist Coalition (CiU) – which won the elections but lost support – and the Left-Wing Catalan Independence Party (ERC) – which is the second largest party now, having doubled its support. After two and half weeks of negotiations, the ERC will vote for the CiU leader, Artur Mas, to be re-elected as President of the Catalan Government. However, the ERC’s stable parliamentary support – since it will not directly be part of the Cabinet – is not granted yet. Party leaders met on Friday to seal the agreement, but differences persist and the date for the re-election debate is approaching.

The Catalan Finance Minister, Andreu Mas-Colell, sees the appeal as “a sabotage of Catalonia’s public finances” with the objective of making the deficit targets harder to reach and then greater control mechanisms can be enforced from Madrid. If the Constitutional Court accepts the Spanish Government’s appeal, the drug prescription and judicial fees approved by the Catalan Executive will be stopped. Mas-Colell explained that this would represent a loss of €140 million per year. The Spanish Executive justifies the appeal because Catalan citizens would have to pay more than those in other parts of Spain. For Mas-Colell, this justification is “sarcastic” and “populist” as it is decided by the same government that “has not increased pensions”.

The former President of Brazil, Luiz Inácio Lula da Silva, has collected the ‘Premi Internacional Catalunya’, a prestigious prize recognising individuals who have greatly contributed to the development of cultural, scientific and human values around the world with their work. In the award ceremony held in the Palace of the Catalan Government, in Barcelona, Lula da Silva has asked Catalans and Europeans “to fight to guarantee the Welfare State”, which was achieved with so much effort. He also praised Catalonia as “a moral and political model for all democratic people” and “a world symbol of the fight for freedom and social progress”. The award was announced in April but the ceremony was postponed due to Lula da Silva’s recovery process after he suffered from cancer.

Catalonia won’t be able to meet its deficit targets without imposing cuts with “serious consequences” on the welfare state, said the Catalan President on Monday. Artur Mas explained in Parliament that the Spanish Government is forcing him to implement austerity cuts that are “impossible to meet without seriously affecting some basic elements of the welfare state”. Mas added that his government has been making a “very important” effort to reduce spending but blamed Madrid for “suffocating” the autonomous communities and local administrations by imposing very difficult deficit targets on them.

The leader of the CiU and Catalan President, Artur Mas, has urged the left-wing ERC to guarantee that he is able lead a “strong, stable and serious” government even if they don’t form a coalition. In his first press conference as President since the electoral results, Mas also asked Spain to see the recent electoral results as a sign that the Catalan society is ready for a referendum. Mas asked Mariano Rajoy’s government to consider its position on Catalonia’s right to self-determination, currently forbidden by the Spanish constitution. Despite losing 12 seats on Sunday, Mas pointed out that the Spanish unionists “only have 28 out of 135 seats” in the Catalan Parliament.

The Catalan Government spokesman, Francesc Homs, hopes ERC opposition to forming a coalition is not a definitive stance and that negotiations may yet be successful. The ERC leader, Oriol Junqueras, said on Wednesday that he plans to stay in opposition while offering parliamentary support to the CiU on key issues such as the budget and the independence referendum. His deputy, Marta Rovira, repeated his comments on Thursday. Meanwhile, Junqueras met with the leader of the ICV-EUiA, Joan Herrera, who advised him it will be very difficult to “change the economical policies” of the CiU and urged him to participate in a “left-wing alternative”. The leader of the Socialists, Pere Navarro, cancelled a meeting with the CiU’s Artur Mas due to “diary issues”.

The leader of the Left-Wing Catalan Independence Party (ERC), Oriol Junqueras, has confirmed to the incumbent President of the Catalan Government and leader of the Centre-Right Catalan Nationalist Coalition (CiU), Artur Mas, that they do not want to sit in the Catalan Executive. However, Junqueras guaranteed Mas ERC’s support for approving the main issues, such as Mas’ re-election as President, next year’s budget and the self-determination referendum. In fact, this last point is the ERC’s main condition for the agreement. The CiU had been insisting on the need to make a stable pact with either the ERC or the PSC, after last Sunday’s electoral results, which would include sharing the government responsibilities in such difficult economic times.