Municipality Expenditures |
EUR mil. | Annual change |
|---|---|---|
| Labour Costs (including contributions) | 1 236,9 | -1,8% |
| Goods and Services | 848,0 | -10,3% |
| Transfers | 368,4 | 4,8% |
| Capital Expenditures and Transfers | 884,9 | 20,2% |
| Interest Payments | 28,0 | -5,3% |
| Financial Operations, Debt Repayment | 275,0 | 23,7% |
| Total Expenditures of Municipalities | 3 641,3 | 2,0% |
Municipalities represent the first and closest contact of citizen with the state. Their competence (abilities to decide and manage) and roles significantly expanded in the years 2002-2004 during the decentralization of state power. Their spending is dominated by the cost of wages, due to the high number of representatives (more than 20,000 representatives at nearly 3,000 municipalities).