Management of public finances at local public authority level and the impact on agriculture development

The formation of local budgets is a complex process through which local authorities plan and manage the financial resources necessary to cover current expenses and to support development projects in communities. The local budget is an essential tool in the efficient administration of public affairs at the level of a certain locality or region. The developments of the European construction had a major impact on the national and territorial collectivities. The Maastricht Treaty was appreciated as a step towards the official recognition of local and regional territorial collectivities by the European Community. Placing in the foreground the principle of subsidiarity, which was initially applied to the relations between the European Union and its member states, contributed to the promotion of policies favorable to the decentralization of power. However, local and regional autonomy were seen as institutional challenges for the states of Central and Eastern Europe, which had to restore their political system following the collapse of the totalitarian one, but also as a challenge to the traditional forms of the state, which are increasingly facing with systemic crises that inhibit its sustainable development. However, local and regional autonomy were seen as institutional challenges for the states of Central and Eastern Europe, which had to restore their political system following the collapse of the totalitarian one, but also as a challenge to the traditional forms of the state, which are increasingly facing with systemic crises that inhibit its sustainable development. Despite the efforts made, the state of affairs in this regard in the Republic of Moldova remains uncertain, characterized by a set of complicated developments and insignificant progress.