Volodymyr Groysman urges depository accounts of local self-government authorities possess sufficient funds to address urgent problems

posted 30 September 2016 12:30

Local authorities have at their accounts sufficient funds to solve the acute issues for the society. This was stated by Prime Minister of Ukraine Volodymyr Groysman in an interview to journalists in Lviv region, while answering a question regarding finding the solution to the problem of Hrybovychi landfill.

"Today, local authorities, local communities have enough money to solve all the urgent problems. Deposit accounts of local self-government authorities of the country possess UAH 10 billion. This amount of UAH 10 billion each local council, each community should direct to settle the most pressing problems. This is a tremendous resource", said Volodymyr Groysman.

Just to compare, the Prime Minister said that in the draft Budget for 2017 the Government envisaged an increase in state support planned in the State Regional Development Fund of UAH 9 billion. The sum worth UAH 19 billion UAH will be allocated for financing of construction and major overhaul of roads in Ukraine.

The Head of Government stressed that the resource of UAH 10 billion in the accounts belong to the local communities. "Just take and use, take and upgrade infrastructure, solve the problems with water canals, landfills, implement energy efficiency measures. Such are the demands I'm going to put in front of local councils," he emphasized.

The Prime Minister noted that after two years in effect the decentralization reform had shown better results than during the entire independence period. Now there is need to effectively use these achievements at each particular locality.

"All the necessary legislation have been adopted, all the powers are, in principle, have been devolved [to local communities – ed.], funds have been transferred to the regions and such deposits suggests that these tools are at your disposal. Hence, they must be efficiently invested in the quality of people’s lives", urged Volodymyr Groysman.

In turn, the Government does not stand aside the problems of Lviv. On September 27, the Ministry of Finance of Ukraine issued an ordinance and agreed upon the provision of local guarantees for Lvivvodokanal under the EBRD project a loan worth € 15 million and under the NEFCO project a loan worth € 5 million (the project of reconstruction of treatment facilities and the construction of a plant for sludge recycling for wastewater treatment and biogas production).

The Government promptly responds to an appeal of the Lviv city mayor on plans of the Lviv City Council to attract credit funds from international financial organizations for the landfill reclamation and construction of a modern waste processing complex. Therefore, two stages of project selection have been agreed by the Ministry of Regional Development, Construction, Housing and Utilities of Ukraine and the Ministry of Finance. If the city reaches accord with the creditor – the European Investment Bank, the Government will provide relevant guarantees for the implementation of the project, said the Prime Minister.