IBSER proposals are taken into account
21 July 2010
MFSI/IBSER experts’ proposals are included into the Budget Code
The amendments to the Budget Code, approved by the Verkhovna Rada of Ukraine on 8 July 2010, include the IBSER proposals (Article 105). IBSER experts elaborated and submitted the proposals as part of the Municipal Finance Strengthening Initiative project, which works to ensure increased efficiency in allocating subventions for implementing investment schemes between executive government organizations. In particular, the draft stipulates that the distribution of subventions for implementing investment activities shall be carried out based on the actual and forecast indicators of socioeconomic development of the respective territory including, among others, the population density, as suggested by IBSER. Thus, when calculating the above subvention, the size of the population will be taken into account, as before, but indicators characterizing the extent of the communal services sector and the need of its maintenance in a proper condition will also be included.
MFSI/IBSER experts’ proposals, if taken into account in the Budget Code, would assure the transparency and predictability of this subvention.
Glyanec