Rustem Khamitov has taken part in meeting on ensuring balanced regional and local budgets

Alexander Smirnov

UFA, 29 December 2016. /Bashinform News Agency, Alexander Smirnov/. On December 28, in Moscow the Russian Prime Minister Dmitry Medvedev held a meeting on measures to ensure balanced regional and local budgets for 2017-2019, which was attended by the Head of Bashkortostan Rustem Khamitov.

According to the Prime Minister, a number of decisions were taken during 2016, which will improve the overall situation of regional finances, the balance of regional budgets, reduce the excessive debt burden in order to create conditions stimulating the territories in their own tax activity.

Dmitry Medvedev said that next year the support of the regions would be increased by approximately nine percent compared to this year. The total amount of intergovernmental transfers is planned at the level of almost 1.6 trillion rubles. Grants are increased by 13 percent, subsidies by almost one third.

The Prime Minister informed about signing the decrees to make amendments to the rules for subsidies granting for equalization of fiscal capacity of the regions.

“I remind that next year we will significantly increase grants - up to 20 billion rubles from 5 billion rubles to the regions that show the highest results in increasing the tax capacity at the expense of economic development. In addition, it was decided to leave the federal part of the income gains tax at the disposal of the regions”, said Dmitry Medvedev.

The Prime Minister noted that the amendments were brought into the rules of formation, provision and distribution of regional subsidies from the federal budget. This decree, which comes into force since 2018, requires a new approach to determining the limit levels of co-financing.

Another decree approves the rules of budgetary credits for the next year. Total up to 200 billion rubles are allocated for this purpose in the budget for the next year.

#khamitov #meeting #medvedev #fiscal policy

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