Sergii CHERNOV Ukrainian representative to the Bureau CORLEAP, Vice-President of the Chamber of Regions of the Congress of the Council of Europe, President of the All-Ukrainian Association of Local and Governments "Ukrainian Association of Rayon and Oblast Councils", Head of the Kharkiv Regional Council

Financial decentralization The major taxes that fill the local budgets The growth of general fund revenues of local budgets 9.5 billion UAH (0.33 billion EUR) 5.5 billion UAH (0.19 billion EUR) 15.5 billion UAH (0.2 billion EUR) 21.0 billion UAH (0.72 billion EUR) 30.5 billion UAH (1.05 billion EUR) January – March, 2014 January – March, 2015 January – March, 2016 The following taxes are transferred to communities Local transport tax Real estate tax Land fees Personal income tax Excise tax

Financial decentralization The growth of local budget revenues Growth in 2014 – 42,1%   + 29.6 billion UAH + 0.8 billion EUR   Almost twice increased its own local budget resources  2015 2014 17 (2,7%)   134 (24,5%) Number of budgets that failed to comply with the approved performances

at the beginning of year Financial decentralization Increase of surplus balances on the accounts of local budgets billion UAH at the beginning of year І quarter ІІ quarter ІІІ quarter at the end of year The growth in relation to 01.01.2015 is 17.0 billion UAH (0.6 billion EUR) or 2.6 times 2015 год 27,4 2014 год 10,4 7,2 2013 год

Financial decentralization The growth of general fund revenues of local budgets January February March The growth of general fund revenues of local budgets (without transfers) for the first three months in 2016 compared to the same period in 2015 amounted 9.5 billion UAH (0.32 billion EUR) or 46%

Decentralization In the context of the implementation of reforms in Ukraine, a number of laws, which transmit powers to local authorities, previously owned by the central authorities

Amalgamation of territorial communities The process of voluntary consolidation covered more than 1000 local councils that have been united in 169 communities ~ 7 000 ~ settlements 169 > 1 000

Amalgamation of territorial communities The major taxes that fill the local budgets One of the tasks of the authorities is to encourage this process, involving in it more and more of municipalities.

Financial decentralization Financial decentralization has become for Ukraine an important part of reform process of all regional governance system in the spirit of the European Charter of Local Self-Government. Successful reform will give the possibility not only to create a fair and proportionate budgetary relations system that allows the territories to develop uniformly, but also will allow effectively deal with corruption.

Thank you for your attention!