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Audit Court Warns Casa Árabe’s Survival Is at Risk, Urges Rigorous Viability Review

The Ministry of Foreign Affairs is pressed to commission a viability study that may even examine dissolving the consortium.

Overview

  • The audit of 2023–2024 finds recurring yearly deficits of about €1 million, with ordinary costs of €3.2 million in 2023 and €3.3 million in 2024 covered by cash reserves.
  • Severe defects at the Madrid headquarters — including roof, damp and climate-control failures — could force urgent repairs that exhaust remaining funds in 2026.
  • Auditors report weak internal controls, noting the absence of objective-based planning, management manuals, a formal job catalogue and transparent hiring procedures.
  • The report criticizes inadequate oversight by the Foreign Ministry and calls for stronger controls, defined staffing frameworks and a push for sponsorships and collaborations.
  • The audited period coincided with Irene Lozano’s leadership; new director Miguel Moro is credited for a constructive response, and there has been no prominent public reaction from the central government.