18.1 C
May 26, 2022

Government finds money for local administrations and schools

With the economic crisis still going on, although it claims that its pockets are empty, the government was still able to find money for some investments. During a Cabinet meeting held Wednesday, the Executive decided to transfer over RON 66 M to 300 local administrations that are in the red, thus covering their debts and their current and capital expenses. According to Mediafax, the money has been taken from the reserve fund of the government, at the request of mayors’ offices. This is not the first move of this kind in the recent years. Both in 2009 and in 2010, sums extracted from the VAT in view of balancing local budgets have been supplemented with cash from the reserve fund, and the money was allotted to several local administrations, mainly to those controlled by PDL, for current and capital expenses, adds the source. A survey made public in June last year by the Institute for Public Policies (IPP) reached the conclusion that over 70 pc of the mayors that received money from the government’s reserve fund belong to PDL. Government officials however claim that the money has been allotted based on the situation of ongoing investments, and not on political criteria. And the “goodwill” of central authorities does not stop here. Also Wednesday, the government decided to allocate – from the same reserve fund – over RON 38 M to cover the debts of schools to construction companies. The money will be provided to school inspectorates and state pre-university education units.

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