Regional local communities will receive more than UAH 9 billion to support sustainable development projects, First Deputy Minister of regional development, construction and housing Vyacheslav Nehoda said.
According to the deputy minister, the preference in allocation of funds will be given to the projects promoting sustainable development of communities and increase of their competitiveness within the local government and decentralization reform. This refers to the following projects: creation of basic schools, hospitals, corresponding with a model of hospital districts, modern centers rendering administrative services.
In 2017, state support for regional development will be implemented according to the following mechanism: UAH 3.5 billion will be provided by the State Fund for Regional Development (SFRD), the remaining funds will be transferred in the form of subventions from the state budget to local budgets. Thus, UAH 1.5 billion will be provided for the development of infrastructure of amalgamated local communities, UAH 4.0 billion – on measures aimed at socio-economic development of territories, UAH 137.5 million – on measures compensating socio-economic risks for population, living in the zone of observation.
Moreover, Vyacheslav Nehoda told about the changes in the allocation of funds from the SFRD in 2017. Thus, 30% of funding will be directed to the three areas per 10% for every area: the development of sports infrastructure, energy efficiency of state and municipal educational institutions and medical facilities.
Taking into consideration the amendments that have been introduced to the resolution of the Cabinet of Ministers “On Certain Issues on the State Fund for Regional Development”, 10% of funds will be allocated to increase the number of centers rendering administrative services.
Selection of regional projects for the remaining 60% of SFRD funds will be carried out in accordance with law.
Source: Ministry of Regional Development, Construction and Housing