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Valencian Leaders Demand Urgent Action on Regional Financing as Liquidity Crisis Deepens

President Mazón and Compromís’s Baldoví warn of social service collapse without immediate inclusion of financing reform in Spain’s June 6 Conference agenda.

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Imagen del presidente de la Generalitat Valenciana, Carlos Mazón

Overview

  • The Valencian Community faces a critical liquidity crisis after starting 2025 without the Autonomic Liquidity Fund (FLA) for the first time in 12 years.
  • President Carlos Mazón has formally requested the Spanish Government to prioritize regional financing reform at the upcoming Conference of Presidents in Barcelona.
  • Compromís leader Joan Baldoví criticized the conference agenda for excluding the issue, highlighting the region’s chronic underfunding and post-disaster recovery debt.
  • The PSPV has sided with the central government in rejecting a temporary equalization fund, deepening political divisions over potential solutions.
  • Valencia remains the worst-financed region in Spain under the 2009 funding model, with mounting debt threatening its ability to sustain essential public services.