Sánchez held two secret meetings with Junqueras on regional financing

The government has confirmed that President Pedro Sánchez held two discreet meetings with ERC leader Oriol Junqueras before their public January 8 gathering at La Moncloa. These focused on negotiating the new regional financing system, which will benefit Catalonia with an additional 4,700 million euros. The confirmation follows days of official silence and highlights Sánchez's strategic push to seal deals with ERC.

President Pedro Sánchez met secretly on two occasions with Oriol Junqueras, leader of Esquerra Republicana de Catalunya (ERC), to advance negotiations on the new regional financing model. Moncloa sources have confirmed these meetings prior to the public gathering on Thursday, January 8, at the presidential palace, which served to formalize the agreement. While dates and locations remain unspecified, Junqueras had already alluded to them on Monday, stating: "For the good of Catalonia, we meet, even if it means going to hell".

Initially, the executive avoided confirming the meetings. La Vanguardia revealed them first, and Junqueras backed them, but government spokesperson Elma Saiz stated Tuesday at the post-Council of Ministers press conference that she had no information on the matter. Saiz defended the "enormous dialogue effort" conducted discreetly, stressing that what matters are the achieved agreements communicated transparently. Government sources deny similar meetings with other independence leaders, such as Carles Puigdemont of Junts or Arnaldo Otegi of EH Bildu.

Following the public meeting, Junqueras announced that Catalonia will receive an extra 4,700 million euros and that the ordinality principle will be respected, positioning it as the third community in both contributions and fund receipts. The next day, First Vice President María Jesús Montero presented the overall proposal for all autonomies, injecting 20,000 million additional euros. This deal upholds ordinality for communities like Catalonia, though it is not guaranteed for others, such as the Community of Madrid.

These three encounters in total—two secret and one public—demonstrate a close political relationship between Sánchez and ERC. They represent a strategic bet to stabilize the legislature and enable the PSC of Salvador Illa to pass budgets in Catalonia, within negotiations that included a prior phone call in October 2023 during the investiture.

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Salvador Illa and Oriol Junqueras shaking hands after signing a pact for Catalan budgets and orbital train.
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Illa and Junqueras seal pact for budgets and orbital train

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Salvador Illa and Oriol Junqueras will sign an agreement today that enables approval of the first Catalan budgets of the term. The pact includes sovereignty concessions and a push for the orbital railway line.

The government of Salvador Illa and the central government are preparing a bilateral commission next week to address pending transfers that could help approve the Catalan budgets after the March setback.

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Oriol Junqueras, ERC president, has firmly rejected Gabriel Rufián's push for a left-wing electoral coalition, stating he did not go to jail for Catalonia so Ada Colau could run for ERC. At a book launch in Barcelona, he advocated understanding among democratic parties without electoral alliances. Parlament president Josep Rull called for updating Catalan identity to counter the far right.

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Economy Minister Luis Caputo and La Libertad Avanza Senate bloc leader Patricia Bullrich met with allied senators to discuss public works, regional economies, and fiscal balance. The meeting included UCR representatives and provincial dialoguist blocs. The government aims to garner support for its legislative agenda, including electoral reform.

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