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The Government maintains the deficit to the CCAA at 0.2% and will allocate 10 billion to health spending



The Prime Minister, Pedro Sánchez, has transferred to the Autonomous Communities this Sunday the details of the Reconstruction Fund of 16,000 million announced this Saturday that it will be non-refundable and will not count, so it will assign the regions a deficit target or individual stability of 0.2% of GDP. According to various media, of this total, 10 billion will go to health spending, a game of 1 billion to social spending and approximately 5 billion will be transferred due to the decrease in own resources, given the slowdown in economic activity.

In addition, the distribution will be made in three sections: one of 6,000 million and another two of up to 5,000 million in the second half of the year. This fund aims that "no territory be left behind in the recovery" of the economic crisis caused by the pandemic, as the chief executive advanced on Saturday.

This has been advanced by the Minister of Finance and government spokesperson, María Jesús Montero, at a press conference with the Minister of Health, Salvador Illa, after Sánchez's eighth telematic meeting with the regional presidents. Montero has also detailed that the fund will be distributed among the autonomous communities based on "objective parameters based on the costs caused by the Covid-19" according to the information that the autonomous communities have sent.

In this Sunday's conference between the central government and the autonomous communities, the eighth since the state of alarm began, Sánchez has informed the presidents of the autonomous communities of the "co-governance" procedure for relaxation of the confinement measures against Covid-19 that aims to "strengthen consensus and coordination" during the 'de-escalation' phase.

In this meeting today, several autonomous presidents of the PP, in addition to the Catalan president, Joaquín Torra and the Basque lehendakari, Iñigo Urkullu, complained about maintaining alarm status and they have asked that the application of the exceptionality legislation be reconsidered and that ordinary legality be restored.

In addition, some presidents have considered insufficient the maintenance of the established deficit and others have asked for more concretion in the distribution of the 16,000 million. This is the case of the Catalan president, who has considered "insufficient" the flexibility of the regional deficit to 0.2%, and faced with the announcement of 16,000 million euros from the Executive for the autonomies, recalled that the Generalitat has estimated at 4,000 million the cost of the Covid-19 crisis in Catalonia.

The president of the Xunta, Alberto Núñez Feijóo, for his part, has criticized the "disproportionate use" of the state of alarm and has suggested that "there is ordinary legislation" to carry out de-escalation.

In this way, Feijóo has joined the voices opposed to maintaining the state of alarm to carry out the lack of confinement, despite the fact that Sánchez warned this Saturday that "there is no plan B".



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