Moldova's local public authorities might have more money, more financial independence, under draft, starting from 2020

Chisinau, 11 October /MOLDPRES/ - All collections of income tax from private people might remain in the budgets of the mayoralties of the rural settlements starting from 1 January 2020. Presently, only 75 per cent of these incomes remain to be managed by the local authorities. This coefficient is of 50 per cent in the case of towns and cities, the government’s communication and protocol department has reported.  

The draft was unveiled at a today’s meeting at the government, with the participation of Prime Minister Maia Sandu, Finance Minister Natalia Gavrilita and the executive director of the Local Authorities’ Congress, Viorel Furdui. The discussions took place in the context of the working out of the budget law for 2020.    

„We work on a budget of solidarity and equity, a budget which is to enhance the degree of financial independence for most mayoralties of the country. Thus, they will not depend so much on transfers from the central budget. The money will be used for the local development,” Maia Sandu said.  

„Additionally, the financial support funds will be compensated from the income tax of legal entities. Thus, the settlements will just take advantage of these changes and will be able to implement social projects the people from these communities need,” Natalia Gavrilita said.    

The state budget law will enter into force, after it is approved by the government and subsequently by parliament.