CATALONIA -- What could the EU gain from an independent Catalonia? - Anàlisi - VilaWeb

What could the EU gain from an independent Catalonia? - Anàlisi - VilaWeb

Catalonia has a date and a question for its referendum on
independence. The debate about what may happen with our country in the
event that it wins is wide open. The months go by and we keep asking
what kind of relationship Catalonia might have with the EU. Some believe
Spain's Foreign Affairs Minister Margallo when he says that 'independence would keep Catalonia out of the EU forever'. But does the EU really have any incentive for that to happen? What could the EU gain by admitting an independent Catalonia?

1. Central Europe would have a new strong ally in the Mediterranean

A country like an independent Catalonia is not small by European
standards. It would be eighteenth in terms of population and 13th in
terms of its GDP (tied with Finland and Portugal) and it would export as
much as Denmark (58 billion euros abroad and 55 billion to Spain).

It is the home of more than 5,300 multinational companies, many
of whom use the Catalan territory as their base of operations for their
exports to the rest of the Union. Novartis, for example, exports 90% of
its production to the European market.

Keeping the economic paralysis that exists in the south of Europe
in mind, a State of Catalonia, which would develop as a prosperous
state in the European Mediterranean, could act as a Franco-German anchor
in the region and as an example of good practices to follow for the
rest of the Mediterranean states.

Catalonia can be, without a doubt, a natural ally of both the
Protestant corridor of Holland, Finland and Germany in order to advance a
responsible European integration, and at the same time of free traders
Denmark and Sweden who will want to preserve the common market at any
price. It will also be an ally of France, keeping in mind that France is
today Catalonia's top commercial partner. The State of Catalonia small
size will also let it be seen not as a potential competitor of the most
populated states, but as a catalyst and ally in the Mediterranean zone.

Because of its commercial potential, leaving Catalonia out of the
EU would be too big a risk for the Union itself. A prosperous Catalonia
excluded from the EU would send a dangerously encouraging signal to
Euroskeptics all over.

2. Independence could force Spain to make reforms
Today,
the elites of some Spanish and Italian regions can think that their
economic development is not necessary in order to provide their citizens
with quality services. They can get the same results thanks to the
millions of euros that are transferred to them from the other more
prosperous regions and from the European subsidies that lower income
regions receive.

Catalonia's independence could be the first movement in a larger series that ends this '

rational underdevelopment' that many regions of Mediterranean states suffer, particularly in Spain.

This is a situation that worries many Europeans. Notice, for
example that the Spanish State will have ended the year 2020 with 35
uninterrupted years as a net receiver within the EU. It didn't even
contribute when countries as poor as Romania and Bulgaria entered the
Union.

A state of Catalonia, therefore, would mean the loss of transfers
to any of those Spanish regions and could generate a reaction that
incentivizes policies based on a productive economy.

Not being able to look forward to the 16 billion euros of
Catalonia's fiscal deficit could be the opportunity that the Spanish
state needs for many Spanish regions to become responsible for their own
expenses and to reform their finances in order to become more
sustainable.

3. It would give incentives to the EU to end its democratic deficit
On
the other hand, the entry into the EU of the State of Catalonia would
help shed light on the inherent contradictions and inefficiencies in the
way the EU works today.

At the same time that a new State and new interests are added to
the European playing board, the need for reform will become more
apparent and it will be more necessary than ever that the European
institutions become more democratic. The entry of a 29th member will
make it crystal clear that decisions cannot continue to be made either
unanimously or in midnight summits. It will be necessary to give real
power to the European Commission and to the European Parliament in order
to make the Union work.

Finally, it's good to point out the example of the United States
of America (made up of fifty states) to see that the claim that 'an EU
is weakened by having too many states' is little more than a fallacy.

4. It would reinforce Europe's 'soft power'
It's
very possible that the successful existence of a State of Catalonia
within the EU would serve as a peaceful and democratic example for those
national communities around the world who aspire to independence.

The act of accepting as a matter of course that the Catalans (and
Scottish) democratically choose with the ballot box what their future
should be as a country would be an impetus for prosperity and peace.
Armed struggle would be dealt a serious blow, and the celebration of
referendums could end up becoming the new democratic standard that
Europe exports to the world.

This fact would increase the EU's prestige as a source of peace,
as well as its capacity to mediate in all kinds of international
conflicts.

5. The State of Catalonia, a generous net contributor
With
respect to its economic contribution, Europe doesn't have to worry.
Catalonia's generous character is historically significant and can
address European requirements without any trouble.

Looking at Finland as an example, we see a Scandinavian country that has a fiscal deficit with the EU that is just 520 million euros each year. With respect to their contribution to the bailout funds of the euro zone, the Finnish guarantee (but don't contribute) up to 12.5 billion euros
that they would only have to pay in exceptional cases. In comparison,
current Catalonia collaborates with 16 billion euros each year thanks to
belonging to Spain. About 32 times more than the Finnish contribution
to the EU budget.

In addition, according to economist Oriol Amat, the contribution that Catalonia currently makes to the EU is 1.3 billion euros per year.

Conclusion
Europe has much to gain by
accepting an independent Catalonia. The matters addressed here are just a
few of the many issues that will have to be evaluated by EU
institutions in order to decide what should happen with Catalonia. There
are economic ones, but there are also very important political ones.

Recently, for example, economist Xavier Sala i Martin revealed one important issue very clearly through a verbal exchange with Barroso. Would the EU prefer to recognize independence won with votes or with arms?

Beyond the Spanish government's predictable hysteria, the EU
institutions and the 28 states of which it is composed should make a
rational, cool analysis before deciding what kind of relationshiop an
independent Catalonia should have with the EU.

Aleix Sarri.
Barcelona, 1985. Degree in
Biotechnology and Masters in International Relations. I live in Brussels
and work as an advisor to the European Parliament. I read above my
possibilities, although I write a fair bit less. I believe that if
Catalans had their own business press, we would have become independent a
long time ago. @aleixsarri

This article appeared originally in Cercles Gerrymandering. It is translated and reproduced here with permission.