Elena Gritsko: Local Government Reform Won’t Fill Budgets

Moldova News

Reform Promises vs. Reality

Elena Gritsko, Vice-Chair of the parliamentary faction of Our Party, criticized the proposed local government reform, arguing that it cannot increase municipal budgets. Authorities have promoted the reform as a way to strengthen local regions, consolidate mayoralties, and attract skilled personnel. However, shrinking local tax bases undermine these claims.

Budget Constraints

Gritsko explained on Exclusiv TV that local budgets depend on taxes from businesses. With companies closing and residents leaving for work abroad, the financial base of local governments is eroding. Even if municipalities merge, closed businesses and emigrated citizens cannot be restored.

“You cannot strengthen municipalities or attract specialists if there’s no money. Promises of golden mountains in Chisinau are irrelevant when villages and small towns are losing their economic base,” Gritsko said.

Economic Context

High tariffs, unstable business conditions, and declining populations continue to weaken small towns. As a result, even “enhanced” merged municipalities may lack funds for essential services like road repairs, school maintenance, or staff salaries.

Conclusion

According to Gritsko, the reform risks deepening regional decline rather than alleviating it, as it is implemented under conditions where the local economy is already struggling.

The Voice of Moldova