Don't miss

Replay


LATEST SHOWS

EYE ON AFRICA

Cameroon's Constitutional Court rejects last petition for re-run

Read more

MEDIAWATCH

Music stars, French art and a dead cat's renaissance

Read more

THE WORLD THIS WEEK

Khashoggi Affair: Evidence mounts against Saudi Crown Prince

Read more

#TECH 24

Next stop space: Japanese company constructing nanotube 'space lift'

Read more

#THE 51%

The Gender Divide: Record number of women running in U.S. midterms

Read more

REPORTERS

Reporters: Brexit, a sea of uncertainty for fishermen

Read more

YOU ARE HERE

Fishing in France's Grau du Roi harbour, a family tradition

Read more

FOCUS

French education reforms under tight scrutiny

Read more

ENCORE!

FIAC 2018: Paris's one-stop shop for Contemporary Art collectors

Read more

Europe

Catalan crisis has cost 'a billion euros' declares Spanish economy minister

Raigo Pajula, AFP | Spain's minister of Economy, Industry and Competitiveness, Luis de Guindos, at a meeting of the Eurozone economic and financial affairs ministers (ECOFIN) in Tallinn, Estonia, on September 16, 2017.

Text by NEWS WIRES

Latest update : 2018-01-02

Spain’s economy minister claimed Monday that the Catalan independence crisis had cost the country “a billion” euros as fallout from the turmoil continued to hamper growth in the wealthy region.

Luis de Guindos said slowdown in growth in Catalonia, which accounts to around a fifth of Spanish GDP, was hampering the eurozone’s fourth largest economy as a whole.

“Catalonia used to have growth above that of Spain, it was one of the drivers of the Spanish economy,” he told Spanish radio.

“However, in the fourth quarter, it’s become a burden.”

De Guindos estimated the crisis could “easily have cost a billion euros”.

Banned referendum

Spain was plunged into its deepest political crisis in decades when separatists in Catalonia’s regional government declared independence in October following a banned referendum on the topic.

Led by Prime Minister Mariano Rajoy, Madrid invoked powers provided for by Spain’s constitution to suspend the region’s cherished autonomy, sack its government and parliament, and call fresh regional elections in a bid to head off the secession drive.

But separatist parties won the most seats in the December 21 vote, and with the Catalan issue likely to drag on well into 2018 there are fears the crisis could hamper Spain’s recovery from the 2007-2008 financial crisis.

More than 3,100 companies have already moved their legal headquarters from Catalonia, including major banks and retail firms.

De Guindos blamed “enormous uncertainty, concern and a loss of confidence generated by the previous (Catalan) government”.

(AFP)

Date created : 2018-01-02

  • SPAIN - CATALONIA

    Catalonia election: Separatists set to regain parliamentary majority

    Read more

  • SPAIN

    Pro- and anti-independence candidates vie for Catalonia's leadership

    Read more

  • SPAIN

    Spain drops international arrest warrant for Catalonia ex-leader Puigdemont

    Read more

COMMENT(S)