News Xina 11

The Catalan Economy in 2014

Macroeconomic indicators over the last few months indicate an improvement in the main economic variables. The worst of the economic crisis appears to be over and the economy is beginning to pick up, although most experts agree that the recovery will be slow.

At the same time as this incipient economic recovery, the effects of the crisis on our society are still patent, particularly unemployment, with 624,000 people currently on the Catalan unemployment register (‘Servei d’Ocupació de Catalunya’). Structural reforms of the economic and social models are still required to revert the underlying causes of the crisis and ensure that another similar crisis does not unfold.

The Catalan economy is an open economy and our companies have significantly ramped up their volume of exports. However, this international focus should not merely be a circumstantial result of weaknesses in our traditional markets, but rather a strategic and sustainable approach.

In 2013, our exports continued to increase, albeit at a slower rate, reaching record levels for the third year running. Although our main markets were still Europe and the eurozone, exports to emerging countries rose rapidly, particularly Asia with 6.5%, accounting for 9% of our international trade.

Catalonia is still an attractive destination for foreign investment. According to data from the Ministry of the Economy, foreign investment in Catalonia from January-September 2013 stood at €2,258 million, an increase of 69.7% compared to the same period in 2012.

Catalonia offers many opportunities to carry out economic activities. Our strengths include a diverse economic fabric; the available logistics and communications infrastructures; our research, development and innovation structure, and a trained, qualified labour force. However, to ensure stable and lasting economic growth and the capacity to be competitive and efficient at global level, a new economic model is required that will make Catalonia’s social and regional cohesion its driving force.  

This new economic model must be underpinned by industry. The countries that have best withstood the effects of the economic crisis are the ones in which industry is a vital part of their economy. Catalonia is still an industrial country and will be even more so in the future. It has a diversified industrial structure and is a benchmark in traditional sectors such as the automobile, agro-food, energy, chemical and metal industries. It is even recovering its textile production industry. We are also a leading player in emerging industries linked to information and communication technologies, particularly with Barcelona as the mobile world capital, and in sectors related to biotechnology and nanotechnology, among others.

Catalonia’s geographical location in the Mediterranean and the availability of strong communications and logistics infrastructures make it an excellent platform to reach European markets, and from Europe to reach anywhere in the world. Catalonia could become the main port of entry into Europe for goods from China and Asia. We have an outstanding port infrastructure, including the first automated container terminal in southern Europe, and a road and rail network that will boost our logistical and strategic role in Europe as the EU Mediterranean Railway Corridor is implemented.

We also support the work carried out by the Catalan Society of Industrial Engineers in fostering contacts and opportunities among professionals and companies in Catalonia and China, as one more tool to boost the internationalisation of our companies.

We have the strengths and tools to tackle future challenges, but we also need to make structural reforms to consolidate the economic stimulus. Many of these reforms have yet to be undertaken, and the signs that the economy is recovering must not make us complacent about the need for them.

In 2014 we must consolidate the recovery of the economy and start to come out of the crisis, with net job creation and improved domestic consumption. This must be the year in which we lay the foundations for a new economic model, pushing forward the required reforms to ensure solid growth that will generate wealth and employment.

I have already mentioned some aspects of Catalonia’s huge potential to become a benchmark in standard of living, equal opportunities and economic progress. To realise this potential, we need to have the same decision-making capacity as other European countries with a comparable size, population and wealth.

Felip Puig i Godes
Minister for Enterprise and Employment

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