DNA indicates the pros and cons of regional finance law amending Funchal News Madeira News – Information from everyone for everyone!
The National Democratic Party was presented today in favor of changing the regional financing law, with its ability to enhance the financial autonomy of the independent region in Madeira.
This reform represents a step forward in decentralization in competencies and financial authorities, allowing the RAM to have a greater ability to make decisions on its financial resources and public policies.
However, DNA also warns of the risks associated with the abuse of powers that this law can give. Institutional administration can waive stability not only in the region, but also from the country as a whole.
Positives
– Greater tax revenue – RAM may keep a larger part of the collected taxes, translating more resources for investment locally in infrastructure and public services.
– Self -judgment in the definition of financial policies – RAM acquires flexibility to create tax incentives that adapt to their economic reality (tourism, agriculture, etc.).
– The direct management of public funds – greater control of funds, including society, with more fitness in its application according to local needs.
– Enhancing budget responsibility – Reform can encourage A.
More sustainable and less dependent on the state budget.
-Zagia for the management of competencies becomes closer to the population, allowing decisions that are in line with regional reality.
-Zagia for the management of competencies becomes closer to the population, allowing decisions that are in line with regional reality.
Contra
Excessive debt – without effective control, may increase the capacity of the debt to non -sustainable regional debts.
Regional and inequality – financial policies distributed poorly can benefit from some sectors, and neglect basic fields such as health or education.
Depending on the volatile revenues that will be dominated in fragile sectors, such as tourism, can generate financial instability.
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Conflicts with the central government – The abusive use of self -government can generate political tensions and settle national cohesion.
Disadvantages in the national market – financially subject to regulation can lead to an unfair competition between the regions, which affects tax shares and the sustainability of public services.
DNA – Madeira is considered, in concluding that changing the regional financing law has the ability to enhance self -government and respond
An independent area of Madeira, the promotion of the most effective management, the other and the other
In line with your economic and social needs.
However, the great forces require a great responsibility. Not
Balanced, transparent and responsible, the risks can be important for both RAM and the country. DNA argues that any reform of this kind must always prove the principles of sustainability, fairness and national cohesion.
