Some Considerations Regarding the Indicators of the Execution of Local Budgets in Romania

In order to evaluate as correctly as possible the efficiency of the management exercised at the level of the local public administration in Romania, it became necessary, in addition to perfecting the accounting of public institutions and financial reporting tools to the general public, and the adoption by legal regulations of a set of indicators relating to execution of the budgets of administrative-territorial units. Their implementation was supposed to allow the monitoring of the budget process and the substantiation of managerial decisions, and also to facilitate interested users to carry out financial-accounting analyzes based on the information provided by the local budget execution account. This implementation of the budget indicators at the local level has been effectively carried out since 2011. Through this approach, a set of 25 indicators relating to budget revenues, budget expenses and outstanding payments of local public entities are subject to the legal obligation of periodic reporting on their official website, following the communication of the indicators calculated by the General Directorates of Finance Public counties to which they belong. For users interested in evaluating the financial and budgetary performance of administrative-territorial units in our country, public access to the data related to the calculated budget indicators gives them the opportunity to make comparisons between entities, as well as between different financial exercises for the same entity.