Budget of the Rostov region is one of 11 largest regional budgets of the Russian Federation.
Since 2012 budget draft is developed for a three-year period. The main financial document of the region – the Regional law dated 16.12.2013 № 75-ZS on the regional budget – is drawn for the three-year period 2014 – 2016.
The budget is drawn taking into account the main objectives and targets, set by the Budget Message of the President of Russia, and main directions of fiscal policy of the region approved by the Governor.
Projected revenue of consolidated budget of the region for 2014 makes 161,7 bln. rub, which is a 6,3 bln. rub or 4% increase compared to 2013.
The share of own tax and non-tax revenues makes more than 80% of total revenues of the budget.
The dynamics of tax and non-tax revenues clearly demonstrates annual increase of revenues of the consolidated budget of the Rostov region: during 2010 – 2016 the revenues increased twice. Effective economic strategy and tax policy for investment attraction that are carried out in the Rostov region facilitate the growth of tax capacity as well.
The share of federal inflow is gradually diminishing due to increased share of own budget revenues. For the first time, the Ministry of Finance of the Russian Federation has made the decision to list the region among other low-subsidized regions of the country with the share of inter-budgetary transfers from 5% to 20%.
Budget expenditures serve to fulfill social obligations, accomplish goals set by decrees of the President of the Russian Federation, overcome social and economic challenges in the region. Projected expenditures for 2014 are about 177,6 billion rubles with growth over 13,1 billion rubles or 7,9%.
The main innovation of the regional budget for 2014 is that it is drawn and its expenditure part is executed in a program way, based on the 21 state programs, approved by the government of the Rostov region.
389 billion rubles are included in the budget for 2014 – 2016 for execution of implemented state programs of the Rostov region, which makes over 90 % of expenditures of the regional budget every year.
The implemented programs give priority to the social sphere. According to estimates, in 2013 the region ranked number 1 among other entities of Southern federal district in terms of social orientation of the budget (68% of all expenditures vs. 62% in Southern Federal District ), which also exceeds average Russian index (61%).
Development of education, healthcare, culture and sport, social support, region citizens’ social care, youth support in 2014-2016 years is foreseen to be funded with 9 state programs (more than 70 per cent of all program expenses).
About 11 billion rubles have been allocated to ensure the sustainable development of agriculture and fishery complexes, as well as rural areas of the Rostov region, enhancing environmental protection, rational use and protection of natural resources for 2014-2016 years.
More than 45 billion rubles have been allocated in the budget on transport infrastructure development.
About 8.8 billion rubles are allocated for 3-years period in order to improve the quality of maintenance of citizens’ housing and communal services. Over 3 billion rubles are annually allocated to provide housing for certain categories of citizens.
For the first time, by analogy with a federal government program, a state program "Public Financial Management and creation of conditions for effective management of municipal finances" has been implemented in the Rostov region. It is focused on creating common budget process conditions and mechanisms for implementation of state programs in Rostov region through development of legal regulation and methodological support. This state program defines the basic trends in development of public finances of the Rostov region, improvement of inter-budgetary relations.
To provide financial support to regional municipalities about half of the total expenditure of the regional budget (in 2014 - a 71.7 billion rubles) is annually allocated.
Moreover, local budgets are provided with the additional normative deductions from the regional taxes. Additional local budget revenues in 2014 are estimated at 8.7 billion rubles.
According to the results of monitoring conducted by the Ministry of Finance of the Russian Federation, the Rostov region is assigned with the highest - the first degree of the quality management of regional finances for the third year in a row.