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The Catalan Government will be able to issue more public debt and the State will pay Catalonia 759 million euros that are pending from 2008. According to the Catalan Government, the Spanish Executive owes more than 2,100 million euros, although the figure could be larger. The Catalan President, Artur Mas, claimed this amount and the Catalan Government’s capacity to issue new debt, after having presented a viability and austerity plan a week ago. Both leaders discussed pending competence devolutions today regarding already approved legislation and agreements, but without concrete results. Prime Minister Zapatero was also very interested in this meeting as he wants to count on votes from Mas’ party in the Spanish Parliament. Mas confirmed that his party would support Zapatero’s measures to foster the economic recovery, such as the pension system reform agreement or a new framework for SMEs.

The Catalan Government sent its austerity and viability plan to the Spanish Ministry of Economy for reviewing yesterday. The plan reduces the public deficit in more than 2 points and sets it at 1.3% for 2011. The finances of the Catalan Government are generating a wide debate at the moment, which is even been covered by international media.

Since the Spanish Deputy Minister for Budget threatened to intervene in Catalan budgetary affairs and in response to the recentralisation debate, the Catalan President, Artur Mas, sent a public warning to the Spanish Government and politicians in Madrid. Mas emphasised that “a point of no return” might be reached if the Spanish State puts obstacles on the Catalan Government’s financing. He also threatened that, if Spain takes action, Catalonia will react.

The President of the Catalan Government Artur Mas said that his Cabinet would reduce the Government’s budget for 2011 by 10% in order to cut public deficit. Speaking at the Catalan Parliament today, Mas accused the Spanish Government of not having paid 1.000 million euros last year as agreed. “It is very easy to cut their own deficit by creating deficit to other administrations”, he emphasised.

The new Catalan Government announced today that the budget for 2011 (currently the 2010 has been extended) will be ready within the next 4 months and approved before the summer break. The Government’s Spokesperson, Francesc Homs, said that for the first time, the budget will be “clearly smaller” than the previous year’s. In addition, the new Government asked for an external audit on the Catalan public administration’s finances.

Artur Mas, the newly elected Catalan president has a new plan up his sleeve. He will cut 23% of the high-ranking positions and reduce the number of political advisers. Public organisations and quangos will also be affected by this austerity measure. The government is forecasting a deficit of 7.800 million euros.

Francesc Homs is Artur Mas’ right-hand man in the CiU leadership and the director of the last elections’ programme. Homs is the CiU’s policy developer and now he will coordinate the new Catalan Government. Homs will continue being Mas’ closest collaborator. He will assist him in defining the Government’s main policies and he will push for action. In addition, he will directly control sensitive areas and will be the Government’s spokesperson.

The new Secretary of the Government was the party’s CFO and one of Artur Mas’ most trusted collaborators. As his duties were internal, Gordó was not a well-known figure. However, his role in the party was essential, as it will in the new Government. Gordó will remain somewhat in the shadows, as his new responsibility is to ensure the Government’s functionality. He will be in charge of preparing Government meetings and ensuring that decisions are implemented. He will also directly manage some concrete services, such as the Government’s offices across Catalonia and abroad.

Artur Mas hired one of his former political adversaries for the top position at the Ministry of Culture. Ferran Mascarell also held this position in 2006, in the left-wing government coalition. Now, he comes back with a centre-right executive. Mascarell has extensive experience in cultural management, in the public and private sectors. He had a successful career in the Barcelona City Council and he was recently on the board of the RBA Editorial House, in charge of audiovisual products.

The new Minister for Business and Employment is an independent, expert in Managerial Economics and austerity measures. He was the Director of ESADE Business School’s Economics Department (1992-2000), where he was teaching until now. He has a PhD in Economics and a Bachelors degree in Law. Mena has experience in the private sector consultancy and banking, especially in the area of Tourism and Analysis, as well in international markets, particularly in emerging economies.

The new Catalan Minister for Territory and Sustainability was the former Mayor of Sant Cugat del Vallès, a middle-to-upper class residential city next to Barcelona. Recoder represents the most social-democratic and least identity-centred sensibility in the Convergència Democràtica de Catalunya (CDC), the Liberal wing of the two-party Centre-Right Catalan Nationalist Coalition (CiU). Recoder’s Ministry changes its name and increases its mandate.

The Vice President and the Ministers of the new Catalan Government were sworn into office at noon. The first Government meeting took place just afterwards to appoint most of the Deputy Ministers. In the afternoon, the former Vice President and Ministers switched portfolios with the new appointees. The Left-Wing Government coalition is, from today, officially over. The new President, Artur Mas, promises an efficient and austere Government, with experienced members.

Mas-Colell was a professor at Berkeley and Harvard universities. Most recently, he chaired the Barcelona Graduate School of Economics and was a professor at the Universitat Pompeu Fabra. He is a specialist in microeconomics and some of his publications are world-renowned references on the subject. Mas-Colell had already been Minister of the Catalan Government between 1999 and 2003, in charge of universities. Now he will be Minister for the Economy, Budget and Universities, stressing the importance of innovation and research.

Mas will appoint the Christian Democrat Joana Ortega as the Catalan Vice President. She will be in charge of the public administration as well as institutional relations, such as Catalon Government's relations with the Spanish State. She will share the latter responsibilities with her party leader, Josep Antoni Duran i Lleida, the current Spokesperson of the Centre-Right Catalan Nationalist Coalition (CiU) in the Spanish Parliament.

Catalonia has a new President. Artur Mas, the leader of the Centre-Right Catalan Nationalist Coalition, Convergència i Unió (CiU), becomes the 129th President of the Catalan Government. The swearing-in ceremony takes place this morning at the Generalitat Palace, the seat of the Government. Mas is sworn into office in an institutional ceremony, followed by a reception. The new Catalan Ministers were announced this afternoon and will take office on Wednesday, when the new Government will meet for the first time.