Budget Code Signed
29 July 2010
President of Ukraine Signs Budget Code into Law
The President of Ukraine Viktor Yanukovych signed the Budget Code of Ukraine into law on 29 July 2010.
“Among other things, it envisages the introduction of medium-term planning, expanding the area of application of the Performance Program Budgeting method in the budget process, improving debt management policies, using any surplus State budget revenues exclusively for implementing top priority investment programs and realizing activities related to implementing social reforms, strengthening financial controls… and the efficient use of budget funds," the President's press office reports.
Bringing the above issues to the forefront as priority matters is the result of successful efforts by IBSER, which has been actively working for several years now towards the implementation of the Performance Program Budgeting (PPB) method of budget formulation and execution, both at the national and regional levels, as a part of the Municipal Finance Strengthening Initiative projects supported by USAID.
In addition, IBSER experts took an active part in drafting the proposals to the Budget Code for the year 2010. They worked with the desire to improve the efficiency of distributing the subventions intended for implementing investment programs and projects among executive administration administrative-territory units, which proposals have been taken into account in BC and which will promote greater transparency and predictability of this subvention.
In particular, the law stipulates that the distribution of subventions for implementing investment activities shall be carried out based on the actual and forecast indicators of socioeconomic development for the respective territory, including, among others, 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.
Glyanec