Chisinau city hall tightens up its belt

The Chisinau municipal budget has got 61 million lei less than planned in the first quarter of 2009. Compared year on year, the difference is minus 173 million lei. According to the head of the Finances Division, Maria Caraus, the budget incomes stay at 84%, Info-Prim Neo reports. Caraus told the city hall staff meeting on April 21 the money shortage impelled stricter expenditures in all the sectors. Thus, only key priorities payments will be operated: paying salaries, utility bills, expenditures on food for children and on territorial cleaning services. The smaller incomes are explained by the fact that the Municipal Council raised the planned incomes with 314 million lei. Other 80 million have not been levied from salary income taxes – the basic source of the budget incomes, Maria Caraus explained. General mayor Dorin Chirtoaca says the situation has emerged following a number of incorrect measures, as is the decision of the central authorities to deprive the city hall from its incomes. In addition, the mayor says another cause is the financial crisis, which hit the work of the Chisinau companies and employees. He ordered an analysis on the financial situation of the municipal budget and a forecast for the further period. “We should see the sectors where the salaries have not been payed, or employees have been fired, or the companies halted their operations. Thus, we'll see the sectors mostly affected by the crisis, about which they say it has not reached Moldova, although it's obvious it's making itself felt,” the mayor said.