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The Dilemma of Financial Autonomy in the Management of Public Finances at the Level of Local Governments

Author

Listed:
  • Mohamed Mouloud Belaid

    (University of Badji Mokhtar Annaba, Algeria)

  • Yamina Soudani

    (University of Badji Mokhtar Annaba, Algeria)

  • Alina Iuliana Tabirca

    (“Valahia” University of Targoviste, Romania)

Abstract

This research analyzes a group of municipalities in Algeria from the perspective of financial autonomy in the management of public finances at the level of local administrations. Local public finances in Algeria have not been as severely impacted as the State’s during the global health crisis 2020, but this is more concerning than reassuring. Ironically, the reason for this is the same as what made the municipality the “driving force” of local development, a sub-national entity heavily reliant on state aid: financial constraints. As a result, this study aims to reflect on the reality of the local government's financial management through a survey conducted in Annaba’s wilaya and, more specifically, in the municipality of Annaba, El-Bouni, Berrahal, El-Hadjar, and Sidi Amar. As a result, it was necessary to inquire about the obstacles that needed to be overcome to lay the groundwork for more effective local financial management and the local community’s aspirations.

Suggested Citation

  • Mohamed Mouloud Belaid & Yamina Soudani & Alina Iuliana Tabirca, 2023. "The Dilemma of Financial Autonomy in the Management of Public Finances at the Level of Local Governments," Ovidius University Annals, Economic Sciences Series, Ovidius University of Constantza, Faculty of Economic Sciences, vol. 0(1), pages 886-895, August.
    • Handle: RePEc:ovi:oviste:v:xxiii:y:2023:i:1:p:886-895
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    More about this item

    Keywords

    local governments; local finance; financial autonomy; decentralization; local taxation;
    All these keywords.

    JEL classification:

    • H71 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Taxation, Subsidies, and Revenue
    • R51 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Finance in Urban and Rural Economies
    • R58 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Regional Development Planning and Policy

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