The Moscow city Duma approved the project of Moscow budget for the years 2016-2018 in the first reading

MOSCOW, October 21. The project of Moscow budget for the years 2016-2018 approved in the first reading. On Wednesday it became known during the meeting at the Parliament.

“For – 32 against – 5, abstained – 0. The amended draft will be. They must be prepared and handed in before 17:30 GMT on 2 November 2015,” – said, summing up the results of voting, the Chairman of the Moscow city Duma Alexey Shaposhnikov.

Conservative budget

Earlier in the meeting the mayor of Moscow Sergey Sobyanin noted that the budget is formed proceeding from the most conservative estimates. “However, more than 50%, or 1 trillion annually, is spent on fulfilling social obligations”, – said Sobyanin.

According to the draft budget, the revenue for 2016 is planned in the amount 1,598 trillion rubles, in 2017-th – 1,647 trillion rubles, and in 2018 – 1,692 trillion rubles the Amount of the expenditure side will be in 2016 – 1,646 trillion rubles, in 2017-th – 1,681 trillion rubles, and in 2018 – 1,746 trln. rubles Deficit in 2016 will reach 48 billion rubles, in 2017 – 34 billion rubles, in 2018 – 54 billion rubles. For comparison, in 2015 the deficit of the capital budget amounted to 64.2 billion rubles. More than 57% of expenditure is allocated to social sphere.

The social nature of the budget naturally

The social character of the capital budget is not something outstanding. This opinion journalist. expressed Professor in the Department of Economics and Finance of the public sector to the GCI Ranepa, doctor of economic Sciences Liudmila Pronina.

“Unlike the Federal budget, a significant portion of the load which is, for example, on defence, regional budgets, including Moscow, do not carry the load. Accordingly, they can spend heavily on social services. Therefore, in my opinion, the social character of the capital budget is not something unusual or outstanding. This is what and should pay attention to the regional budget”, – said Pronin, commenting on the draft budget of Moscow from 2016 to 2018, adopted in first reading today the Moscow city Duma.

According to the document, more than 57% of expenditure is allocated to social sphere. 346 billion rubles or 22,6% is allocated for social support of Muscovites. This is the largest item of expenditure of the capital budget. And in comparison with the year 2015, its volume will increase by 5%. 263,9 billion rubles, or 17.2 percent, in 2016 is expected to be allocated for the development of education. This is 4.7 billion rubles, or 1.8%, more than in 2015. 192 billion rubles, or 12.5%, in 2016 is prescribed for the development of health capital (including funds of the Moscow health will be highlighted of 321.7 billion rubles). For comparison, in 2015 the expenditures side of the budget was 190,4 billion rubles, which is 1.6 billion rubles, or 0.8%, less than planned next year.

Expenditure on culture and sport in 2016 will amount to 79,7 billion rubles, or 5.2% of the budget. This funding program “Culture of Moscow” will decrease by 1.6% (37.1 billion rubles in 2016 against 37.7 bn in 2015), and the cost of the program “Sports of Moscow” will grow by 13.4% (USD 42.6 bn in 2016 vs. 36.9 billion rubles in 2015).

“The nominal figures tell us very little. Of course, well, if they do not decrease, however, required a qualitative analysis of the expenditure side of the budget. In other words, how efficiently budget funds are spent”, – said Pronin. According to the expert, it is necessary to take into account the growth of inflation, to scrutinize certain expenditures, the costs of which are increasing. “If we say, for example, the transport sector, there is need to look at how contests are held, how does the contract system, and so on”, – she emphasized.

Social benefits smooth inequality

The system of social benefits designed to alleviate the inequality in incomes, so it dominates budget spending. This was announced by the Director of the Center for studies of income and living standards HSE Lilia Ovcharova.

“The fact that social assistance to the population in Moscow in the first place by the volume of budget expenditures in 2016-2018, is right. Because the biggest income inequality of Russians in Moscow. The system of targeted social payments is intended to approximate. If this is not done, not to invest in assistance to low-income groups, this inequality will be a source of serious social tension”, – said Ovcharov.

In 2016 on social support of Muscovites it is planned to allocate 346 billion rubles or 22,6% of the expenditure budget. This is the largest item of expenditure. And in comparison with the year 2015, its volume will increase by 5%. The social sphere in General, including health and education, is given more than 57% of the expenditure side of the budget. In second place among budget priorities – transport, including the construction of transport infrastructure. The third state program “Housing”, aimed at increasing the comfort of living in the capital.

According to Ovcharova, with the priorities on the expenditure side of the draft capital budget for the years 2016-2018 need to agree. “We conducted a study on what areas people have noticed improvements in the city over the past five years. First, as noted citizens, is the landscaping and provision of pedestrian areas. Second, positive changes in the condition of the public transport. We are talking about the construction of metro, the renovation of rolling stock of buses, trams, the emergence of dedicated lanes for public transport. In addition, the Muscovites named the two main problems that bother them. This tube and medical care. However, when people talk about medical care in the context of a possible move from Moscow, called it the best in the country. In other words, on issues affecting residents of the capital, is allocated the lion’s share of the expenditure side of the budget”, – said the expert.