Catalonia Secures Partial Debt Relief Agreement with the Spanish Government

Monday 24 February 2025 - 16:30

The leader of Esquerra Republicana (ERC), Oriol Junqueras, announced on Monday that his party has reached an agreement with the Spanish government to forgive 22% of Catalonia’s debt from the Autonomous Liquidity Fund (FLA). According to Junqueras, this debt relief amounts to €17.1 billion, a sum he considers "unfair" and one that "should never have existed." He emphasized that this translates to approximately €2,300 per capita.

During a press conference at ERC's headquarters in Barcelona, Junqueras celebrated the agreement, which is expected to be approved this Thursday by the Economic and Fiscal Affairs Committee. Following this, the measure will require approval from the Spanish Congress, though Junqueras expressed confidence that it will pass without issue. He also noted that the final percentage of debt relief exceeds the 20% initially proposed by the Spanish government.

The ERC leader highlighted that the amount being forgiven is equivalent to the Catalan government’s planned investment over four years or the region’s annual expenditure on healthcare, education, universities, and research. Additionally, he pointed out that just the interest on this debt represents an extra €1.5 billion. ERC emphasized that this sum is comparable to the annual budget of Catalonia’s Department of Interior and Public Security or the cost of building 40 new schools.

Junqueras also took the opportunity to underscore other agreements ERC has secured with both the Spanish and Catalan governments. These include the creation of a joint public-private rail company for Rodalies, the expansion of fiber optic coverage to nearly 100% of the population, and a strategic plan for the protection and promotion of the Catalan language. "ERC aims to serve Catalonia with the highest ambition. We will never settle for merely ensuring that existing agreements are upheld," Junqueras affirmed.