La Gomera Urges Agile Response to Economic Impact of Middle East Crisis
An island representative advocates for swift measures to mitigate the effects on the Canarian economy, especially in non-capital islands.
By Idaira Santana Dorta
••2 min read
IA
Generic image of a microphone on a podium during a parliamentary commission.
A representative from the Cabildo de La Gomera has advocated in the Parliament of the Canary Islands for the urgent implementation of agile measures to counteract the economic impact of the Middle East crisis on the archipelago.
During an intervention at the General Commission of Island Councils, it was highlighted that the current scenario has intensified economic uncertainty, directly affecting energy markets, supply chains, and key sectors for the islands. Emphasis was placed on the particular vulnerability of a remote and externally dependent territory like the Canary Islands.
Rising fuel costs, increased logistical expenses, and pressure on activities such as transport, tourism, and the primary sector demand swift administrative action. A decree-law by the Government of the Canary Islands, which outlines an immediate response through three blocks of measures, was positively assessed.
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"The situation giving rise to this decree-law is complex and worrying. We are not facing an ordinary structural situation, but a changing scenario that requires a certain agility in decision-making by governments and public administrations."
These measures include fiscal relief, such as the temporary extension of the zero rate of the IGIC (Canary Islands General Indirect Tax) to energy products and basic foodstuffs, and the modification of the small business regime to facilitate access. It also includes an extraordinary allocation for the industrial sector and direct aid to the primary sector to offset increased input and energy costs.
A
particularly relevant
aspect for islands like La Gomera is the recognition of double insularity and the higher overheads borne by non-capital territories. However, it was warned that the temporary reduction of tax rates, although economically and socially justified, could indirectly affect the resources of the island councils by leading to lower revenue.
It was noted that, although the decree does not assign new direct powers to the island councils, it does impact areas where these corporations play a significant role, such as supporting the primary sector and industrial coordination. Therefore, the need for constant monitoring of the international context and reviewing the duration of the measures if instability persists was defended.
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"In times like these, it is important for institutions to convey stability and responsibility."
The representative reiterated the willingness of the Cabildo de La Gomera to collaborate with other administrations to protect citizens and the most vulnerable economic sectors, concluding with a message of rejection of war and solidarity with the victims of the conflict.