Siluanov spoke about the role of regions in financing the may decree :: Economy :: RBC

The Federal center for the first time will assume the costs for the implementation of the new decree of may, said the first Deputy Prime Minister Anton Siluanov. In General, the regions and municipalities will have half of the expenses required for its implementation

Anton Siluanov

(Photo: Ilya Pitalev / RIA Novosti)

Spending on national projects in the framework of the new decree of may will fall on the regions and on the Federal government, at least at first. This was stated by first Vice Prime Minister — Minister of Finance Anton Siluanov at a meeting of the public Council of the Ministry of Finance, the correspondent of RBC.

Siluanov said that “yesterday the government had a meeting” about the distribution of costs decree between the Federal center and regions. “While all of these funds are concentrated at the Federal level. We discussed that in 2019, the Federation will take in full resource support of the goals and objectives outlined in the national projects, because if we are going to transfer some amount of financial aid, or collect the obligations from the regions to the Federal center, or transfer taxes, all may disperse. So while we see at the beginning of the implementation of the national projects [funding] from the Federal centre”, — said Siluanov.

Finally accepted projects yet, reminded Siluanov, but in the first year the Federal centre will ensure that these costs are “full”. “Then you can watch, to centralize some of the costs of the non-working population in subjects of the Russian Federation to transfer taxes. But first you need to clearly define the scope of obligations of regions. While we have no clear understanding. Most likely, it is estimated that about half of the additional resource — the tasks that will be implemented at the regional and local levels”, — said the first Deputy Prime Minister.

New the may decree of President Vladimir Putin, signed shortly after his inauguration, includes 12 priority projects that the government should develop or adjust to 1 October. Demography, health, education, housing, the environment, safe and quality roads, productivity, science, the digital economy, culture, small and medium enterprises and exports. The cost of implementation of this plan will amount to 8 trillion in the next six years.

About the risk of the negative impact of the may decrees of the past (2012) on the budgets of the regions, experts say. About the “imbalance” of the budgets of the constituent entities, which has led to the need to provide regions with additional support from the Federal government, said Prime Minister Dmitry Medvedev. Under the new decree may, however, the effect on regional budgets should not be so negative as the Ministry of Finance will more promptly respond to these questions, evaluating the possibility of expenditure in each region, said RBC senior Director Fitch Vladimir Redkin.

However, according to preliminary data, put now the resources to implement the may decree “will be enough,” said the head of the accounts chamber Alexey Kudrin. He noted that the government had not yet determined “allocation priorities”, and the funds allocated for the financing of the decree, “are not distributed in areas of national programs.”

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