The Chamber of Commerce Y Foment del Treball lamented on Wednesday the impact it will have on Catalunya the extension of the general budgets of the State, especially with regard to investments.
The budget project envisaged a provision in investments in the community of 900 million more than the previous year, according to the Chamber. The budgets they had planned 2,051 million direct euros plus the 200 agreed in a bilateral commission. When the accounts are extended, the figure will fall to 1,351 million.
The impact on investments will be about 900 million euros
"The big damage in any budget extension are investments and especially infrastructures," lamented Foment through a statement. Catalonia was the second community with the highest growth in investments (+ 52%). In addition, the Chamber stressed that the provision foreseen in relation to the whole of the state investment that can be regionalized "would have been the highest percentage of the historical series in Catalonia".
The Chamber analyzed the impact of the budget extension specifically in the chapter on infrastructure investments. The institution recalled that the proposed increase for Catalonia was 66%, to 1,875 million. "The objective of the Third Additional Provision of the Statute would have been met since the investment effort in infrastructure in Catalonia would have been in line with its economic weight (19%), which will not happen now". Foment del Treball added that "the lack of the general budgets of the State 2019 will negatively affect the Catalan economy, especially infrastructure investments."
Foment hoped to improve the accounts in the parliamentary process
According to the Chamber, Catalonia will also suffer the impact of the non-application of the new financing mechanisms for the most indebted communities promised by the Ministry of Finance. The business institution recalled that the debts of the Generalitat with the State amount to 57,000 million euros.
Beyond the concrete effect on Catalonia, the employers Foment warned that the rejection of budgets generates a political instability that is harmful, especially "in a few moments of economic slowdown" like the current one. All the houses of analysis have lowered the forecasts of economic growth for this year both in Spain and in Catalonia. This Wednesday CC.OO. and UGT requested that the Government comply with the commitments acquired in labor material through royal decree if necessary.
Trade unions ask that commitments continue
In a statement, UGT explained that the rejection of budgets is "a missed opportunity to end the policies of cutting and austerity, recover freedoms and social and labor rights, reverse an unequal and unequal growth model and distribute the wealth that is generated in a more fair and balanced way ".
The union added that "it is essential to approve by decree the agreed issues and the recovery of the ultraactivity of the agreements, the prevalence of the sectoral agreement on the company or the time control and advance negotiations of the dialogue tables underway" .
The employer CEOE did not pronounce on the rejection of the Congress to process the budgets, although in recent weeks its president, Antonio Garamendi, had been critical of its content because "we are going to spend more than we owe" and we are going to "enter less than what they tell us. "
From Barcelona, Foment del Treball recalled in his statement that although they had "many doubts" about the content, especially in regard to tax increases, they hoped that changes had been made in the parliamentary process.