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The Finance Ministry has redistributed the interbudget transfers issued by the State Budget to local budgets. This was based on the government’s resolution approved by the Cabinet on Nov. 21, 2013, the Information-Analytical Bulletin of the Cabinet of Ministers of Ukraine informs.
Experts at the Finance Ministry say the budget has been redistributed to achieve a balance of local budgets and ensure a timely payment of wages to public sector employees. Experts say that the timely payment of wages in the public sector may be feasible only on condition of smooth interaction of local and central authorities.
Government analysts emphasize the important role of local governments in ensuring timely payment of wages to public employees. It is extremely important for them to properly plan their payments, to ensure that own funds of local budgets are allocated to pay wages as a matter of priority.
Experts also note instructions by the President Viktor Yanukovych to the government on repaying all existing arrears in the public sector by end of 2013.
Experts say the Cabinet approved a resolution to allocate an additional 771 million UAH for wages of public sector employees funded from local budgets. In fact, 2.1 billion UAH were additionally issued for these needs in October.
According to the State Statistics Service, as of Nov. 1, 2013, the arrears on wages amounted to 989 million UAH.