Kyiv's budget strongly depends on national budget, budget decentralization achieves certain success, says mayor

11:34, 21.01.2015 1 min read

Kyiv city has managed to achieve certain success in decentralization, although the city's budget still depends on the national budget, Kyiv Mayor Vitali Klitschko has said.

"We’ve several times raised the question of budget decentralization and we've archived certain results and begun reforms," Klitschko said on Tuesday, presenting the 2015 Kyiv city's budget.

He said that the national budget for this year, which was drawn up taking into account the new taxation base, foresees that local taxes will remain with local budgets. The Kyiv draft budget includes revenue from property tax, transport tax, land fees and excise duties. In addition, 10% of profit tax paid by companies goes to the city's budget.

"We're trying to balance the budget as a part of cash financing rules. We have to realize some unpopular decisions of the government, although we did our best to retain social standards which Kyiv residents have gotten used to," Klitschko said.

He said that Kyiv's authorities tried to cut the tax burden where the law allows for it.

He added that municipal bonuses for medical and education staff remain, and that children in schools will have free meals.