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Putin wants disproportions in regional distribution of budget funds removed

The president stressed that the regions should have the financial means to carry out tasks they were given

© Alexey Nikolsky/TASS

MOSCOW, September 26. /TASS/. Russia should eliminate disproportions in distribution of budget funds between regions, President Vladimir Putin said on Monday.

He set this task speaking at a meeting on improvement of inter-budgetary relations.

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According to him, disproportions in provision of regions with budgetary funds are evident.

"A big gap is marked in budget revenues of constituent territories of the federation [regions - TASS], and therefore in wages, volume of financing of social and infrastructure projects. We need to find solutions how to smooth imbalances and to allow the regions to strengthen their financial base," Putin said.

The Russian president also urged "improvement of the mechanisms of support to the regions from the federal budget."

Putin pointed out that the regions should have the financial means to carry out tasks they were given.

"The quality of life of people, growth of their income, improvement of social services, infrastructure are directly dependent on the condition of budgets of the regions, municipalities. And, of course, the authorities of the regions, local self-government must be supported by appropriate financial resources," the President said.

In general, according to the head of state, the regions should be encouraged to develop their economic potentials, use their competitive advantages, improve investment and business climate.

Putin also said that without smoothing the difference in incomes of various regions it would be difficult to settle their debts.

"For historical reasons, Russian regions have very different possibilities in terms of their budgetary security and in terms of solving the issues they are facing. Tasks are same everywhere, but financial possibilities, sources of financing, mainly local sources are very different," Putin said at the meeting.

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