Escaldes-Engordany Council Earns €1.63M in Bank Interest, Achieves Zero Debt

Escaldes-Engordany parish council has generated €1.63 million in bank interest from treasury surpluses over the past three and a half years, while achieving zero debt since early 2025 and sustaining major local investments.

Deputy Mayor Quim Dolsa highlighted the council's conservative approach, depositing excess funds in banks to earn returns without financial risks. The strategy yielded €251,058 in 2023, €802,718 in 2024, €458,155 in 2025, and €120,615 from January to August 2026, for a total of €1,632,546. Dolsa noted that these gains, secured through prudent management, will fund public projects.

This financial health builds on the council's debt reduction efforts. Teams under Mayor Rosa Gili inherited €14 million in liabilities at the end of 2019, representing a 53.2% debt-to-budget ratio. Progressive cuts brought it to €11.1 million (40%) in 2020, €8.3 million (28.4%) in 2021, €5.4 million (19%) in 2022, €4.1 million (13.3%) in 2023, and €235,000 (0.75%) by the end of 2024. The balance reached zero at the start of 2025, making Escaldes-Engordany the only debt-free local authority.

Gili stressed that eliminating debt did not curb investment. Over the last five years, the council allocated roughly €37 million to acquisitions and developments, such as properties in the Madriu Valley, the Cal Paleta and mirador sites, the Caldes project, Falgueró parking, Church Square, a new retirement home, and Prat del Roure park.

Leaders attribute ongoing investment capacity to disciplined debt repayment, surplus management, and these interest earnings, avoiding any bank loan interest costs.