Fitch: Catalonia's secession from Spain is very unlikely

"The confrontational nature of the vote on Catalonia independence has increased near-term political risks," Fitch Ratings said in a recently published report.

Key quotes:

• The immediate consequences of Sunday's vote are hard to predict.
• There remains a risk of fresh disturbances. 
• The recent events could also weaken the ability of Spain's minority Popular Party government to implement national policy.
• We view Catalonia's secession from Spain as very unlikely, and our central assumption remains that there will ultimately be a settlement on regional financial reform and greater autonomy for Catalonia within Spain.
• We forecast above-trend GDP growth of 3.1% in 2017 and 2.5% in 2018, but a further sustained escalation in tensions between the Catalonia and Spanish governments would represent a downside risk.
• A further escalation of tensions that undermine these assumptions could prompt negative rating action.