Independence would cost Catalunya 4.5 billion a year, but eventually bring annual profits of 11.5 billion, say experts
Tuesday, July 29, 2014 @ 11:06 AM
CATALUNYA'S bid for independence would cost the region 4.5 billion euros a month, experts claim.
This would be the total of necessary payments in Social Security, wages for civil servants, pensions, unemployment benefit and general running costs, according to the National Transition Advisory Council.
Eventually, however, and once Catalunya became an established country in its own right, it would see profits of 11.5 billion euros a year – but this would take many years to achieve, according to the Advisory Council (CATN).
And to get to that stage, Catalunya would initially have to seek funding via credits, overdrafts from the Central Bank of Catalunya, and 'patriotic bonds' to be exchanged for tax income.
The overall result is that the people of what would become the world's newest country would see their taxes rocket.
According to the 18 reports released by the CATN, and in particular the most recent eight, the creation of a new State of Catalunya would be 'perfectly possible and economically viable'.
This said, it ias already been shown that as a separate country, Catalunya would not function unless it could continue within the European Union and the common currency – another major obstacle it would have to overcome, since this would involve reapplying for membership.
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