Spanish Economy Minister Warns Catalonia Will Lose Up to 30% of GDP If Secedes

Possible secession of Catalonia from Spain may affect region's economy, set for October, Spanish Economy Minister Luis de Guindos said Monday.

MOSCOW (Sputnik) — Catalonia’s gross domestic product (GDP) may decrease by up to 30 percent in case the region officially separates from Spain after an independence referendum, set for October, Spanish Economy Minister Luis de Guindos said Monday.

"The GDP could fall between 25 and 30 percent, and unemployment would double," de Guindos told Radio Cope.

According to various analysts, in case the referendum is successful, the drop could result in Catalonia's losing access to EU single market, as well as trade barriers with Spain.

On September 6, Catalonia’s Parliament passed a bill enabling an independence referendum to be held on October 1. The Spanish government called the bill illegal and challenged the legislation in the Constitutional Court. The next day, Spain's Constitutional Court suspended the Catalan law on referendum. The Catalan authorities vowed to hold the referendum despite the Court's ruling.