RuEn

Journal section "Development strategy"

Regional budget for 2013 – 2015: stability or survival?

Povarova A.I.

1 (25), 2013

Povarova A.I. Regional budget for 2013 – 2015: stability or survival?. Economic and Social Changes: Facts, Trends, Forecast, 2013, no. 1 (25)

Abstract   |   Authors   |   References
The next three-year budget has been enacted in the Vologda Oblast. According to the Senior Executive Vice-Governor of the Vologda Oblast A.A. Travnikov, the discussion of the main financial region’s law has been “the hardest over recent years because it is too difficult to drop down, especially after a long period of sustainable growth”. For the first time, the regional budget has not been adopted in the first reading because it has left out of account the resources due to acute debt burden, which are necessary for eliminating the crisis disproportions, making the conditions for economic growth and dealing with the vitally important tasks of growth in the population’s prosperity defined by the President of the Russian Federation in his election programmes. Meanwhile, clear and strict implementation of these tasks is not only a matter of authorities’ prestige, but also social and political stability. According to the basic parameters of the budget, the situation in the budgetary sphere will not improve in the short term. Growing debts and debt service expense force the regional governments to reduce funding of social programmes. The problem is aggravated by the fact that the Government of the Russian Federation has not taken decisive measures to stabilize the sub-federal budgets. On the contrary, the centralized model of the budgetary structure in the country is going to become a true impediment to socio-economic development, and it requires a cardinal re-examination of the current fiscal policy

Keywords

regional budget, own revenue, deficit, debt burden, loaning, the decrees of the president of the russian federation dated on may 7, 2012

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