The "Catalan oasis" versus the Madrid of tension

Madrid"Catalonia is now an oasis." The phrase comes from an executive at a publicly traded company listed on the Ibex 35, who works and lives in Madrid but frequently visits Catalonia—in fact, he's Catalan—and uttered it at one of the Christmas cocktail parties organized by companies and institutions that fill the Spanish capital before the holiday break. The concept is, in fact, gaining traction as a way to contrast the atmosphere in Catalonia with that of Madrid. In the business world, many voices agree that the Spanish capital is experiencing an exceptional moment, marked by political tension and constant mudslinging between the two major parties, the PP and the PSOE. This climate doesn't offer the ideal environment for doing business and, they believe, fosters the growth of parties like Podemos, but also Vox, "extremes" that are of no interest to them, explains another business source. "[In Madrid] The tension is constant. A knife-edge tension," says the executive himself, who assures that "it doesn't go anywhere" outside the Spanish capital: "You go to Asturias or Galicia and you have meetings with both [PP and PSOE] at the same table."

The orbit of large corporations, much of which are concentrated in Madrid, coexists with this scenario with a certain degree of resignation. While some haven't given up hope that major national agreements will eventually be reached, others see it as an "impossible mission" and cite the land law or the anti-blackout energy decree as examples—the latter of which the People's Party (PP) failed to support despite pressure from energy companies. In this context, there is talk of the formation of a business bubble detached from political battles, although its lobbying is always present—a clear example being the behind-the-scenes pressure to derail the extraordinary tax on energy companies.

What is the Catalan oasis? The choice of this concept is not insignificant, because it refers to the political atmosphere in Catalonia before the Process, especially during Jordi Pujol's governments, although the Catalan oasis was originally built by the Catalan bourgeoisie by strengthening their ties to combat Madrid's centralism. This second meaning leads someone close to the Catalan business community to consider it an "exaggerated" comparison.

Whatever the case, what the Catalan oasis expresses is the perception among business leaders that, since Salvador Illa's arrival at the Generalitat, "political normalization" has materialized: it is no longer "frightening" to talk about large investments—several companies have once again placed Catalonia at the center of their plans: the defense sector, but also the banking sector—; about hosting events; or about welcoming back with open arms the companies that, after October 1st, decided to leave Catalonia—Banco Sabadell was one of the latest to do so amidst BBVA's hostile takeover bid. Of the 4,500 companies that relocated their headquarters, some 740 have returned, according to the latest data provided by the company Informa BD. Notable among the returning companies are the La Caixa Foundation and its holding company Criteria, the cement company Molins, and Laboratorios Ordes. In contrast, CaixaBank and Naturgy remain outside.

Added to all this is the change at Barcelona City Hall, now under the leadership of Jaume Collboni. This is "the key" to it all, according to a high-level source within the Spanish employers' association, who believes that the difference has truly been felt at the Barcelona City Hall, and not so much at the Catalan government. "It's radical, nothing like [Ada] Colau's," the source states.

Frequent visits to Madrid

But all this "normality" isn't being cooked up solely in Catalonia, as the 19th-century bourgeoisie might have done. This time, the Catalan government itself is also orchestrating it from Madrid, where Salvador Illa has traveled repeatedly since becoming president. The most recent trip, in fact, was on November 18th. to present the Blanquerna PrizeThis hadn't happened since 2017, coinciding with the peak of the independence movement. And if it hadn't been for the outbreak of the African swine fever crisis, Isla would have attended the Constitution Day celebrations in Congress, where the institutional solemnity was overshadowed, precisely, by the political squabble between the PP and the PSOE.

Last year, the Catalan president resumed attending events like these after years of absence by his predecessors. "Institutional normality," he argued at the time. There have also been bilateral meetings with Pedro Sánchez, attendance at the military parade on October 12th, a photo with King Felipe VI, participation in the Fitur tourism fair, and the presentation of his economic model at a major event at the Círculo de Bellas Artes, in the heart of Madrid, before prominent figures from the political, social, and business spheres in March 2025. He was one of the attendees at the event. Today, a source from the Spanish employers' association reiterates this.

During these visits, Isla is known to also meet with various business leaders, but behind closed doors. It is, in fact, a "private" agenda, his team has argued on more than one occasion when questioned about the meetings the president holds during one of these official trips to the Spanish capital. In this context, Business and union sources have assured the ARA Salvador Illa and his government are pulling strings "more than ever" to bring certain investments—such as those in the defense sector, which is currently booming—to Catalonia. And they are doing so in coordination with the central government.

Isla had long been determined to do the overtaking In the Spanish capital, they are advocating for an economic model that diverges from the one proposed by Isabel Díaz Ayuso. "This tension [in the Spanish capital] isn't deterring large companies yet," says a source, who points out that the major centers of power remain, for the time being, at the heart of the state. "They're still playing the game," the source concludes.