The institutional capacity of the local administration of capital investments seems to be rather reduced and quite much dominated by the effects of legal modifications and the state influences the decision-making process concerning the realization of development programs in Chisinau. This conclusion is presented in a rapport titled “Local public finances’ system of Chisinau Municipality in 2003-2005” produced by director general of the Rating for Eastern Europe Agency, Gabriela Caluseru. The report has been made public on Wednesday, October 4, as part of a seminar attended by municipal councilors and City Hall representatives. According to the expert, the procedure of decision-making concerning the capital expenses and the control of their execution is insufficient and inadequate. The investment projects are not exposed to a preliminary compelling analyze of their economical and financial efficiency. Thus, many of them present solutions which are extremely expensive and which could be solved with reduced costs and, maybe even with adequate technical solutions. Often the decisions have an ad-hoc character and the process of the priority establishing and adopting decisions seems to be non-transparent. As she asserts, priorities of capital investments in Chisinau Municipality are determined by political interests. Municipal councilors, who participated to the report presentation, consider that the study effectuated is an equidistant one and presents the reality from Chisinau Municipality. The councilor representing AMN, Oleg Cernei, affirms that as it was stated, there’s no analysis performed concerning the impact and the efficiency of the investments, and there’s no strategy created which would realize this analyze. In turn, the leader of the Christian- Democrat municipal councilors, Alexandru Corduneanu, expressed the opinion that financial management effectuated by the City Hall is poor. Corduneanu said that there are financial indices not taken into consideration when an investment is planed. That’s why even the Municipal Council is sometimes in the situation to lack the possibility to have responsibilities in the domain. The cited source exemplified with the repairs of the “model-districts”, of the square located in front of the Opera and Ballet Theatre and that near to the Stefan cel Mare monument. The “System of local public finances” report also shows that Chisinau Municipality is limited in its liberty to establish local taxes. At the same time there are suppositions of an inadequate administration of the municipal property. The process of its inventory and re-estimation isn’t finished yet. According to the expert, till the finalization of these processes, the continuance of the municipal property sale is not recommended.