FXStreet (Mumbai) - The two secessionist parties in the parliament in the Spanish region of Catalonia finally managed to end a political deadloack on Sunday. Carles Puigdemont, the mayor of the Catalan city of Girona finally won the support of parliament and went to become Catalonia’s next president. The decision on a new president was reached few hours before hitting the deadline given to end the political deadlock which was looming over Catalonia ever since the regional election in September. Failure to meet the deadline would have led to new elections. Artur Mas, the outgoing Catalan President confirmed “The Parliament will begin to function immediately”. The two pro-independence groups, the anti-capitalist leftist party Candidatura d’Unitat Popular (CUP) and Junts pel Sí (Together for the Yes, or JxSí) had won a majority of 72 out of 135 parliamentary seats with about 48% of the vote. However, the two parties could not decide on the next president causing a deadlock. CUP were against to support Artur Mas for another term as he had pushed austerity policies during the economic crisis. Mas stayed adamant and refused to bow out. On Saturday, the parties finally reached an agreement. The two parties agreed that Carles Puigdemont would replace Mas as the new president. CUP at its end agreed to not to vote against JxSí if at all a situation where parliamentary “stability” was at stake surfaced. The objective is to turn Catalonia into the next new state in the EU. “Next stop, Independence!” Oriol Junqueras, the leader of the Esquerra Republicana de Catalunya (Republican Catalan Left) party tweeted. However, going by the contradictory interests of Catalonia and Spain, as well as the strained relationship between the central powers, a separate state of Catalonia looks does not look immediate. According to Teneo Intelligence political risk analyst Antonio Barroso, “The deal means that Catalonia is likely to accelerate its secessionist challenge in the ongoing game of chicken with the central government.” He believes the parliament in Catalonia will now build “state-like” structures. He also added that creation of such structures will be challenged by the government in Madrid. For more information, read our latest forex news.