The central government must transfer funds from the State Budget to the functioning of provincial governments. However, until now there is no formula that defines the criteria for the distribution of funds among the 10 provincial governments.
The formula that should have been approved through Law 16/2019 of 24 September, which defines the financial and patrimonial regime of the provincial decentralized governance bodies, is not included in it and the Government runs the risk of transferring money without any criteria to guarantee transparency and public scrutiny. If this happens, it means that some provinces can be benefited at the expense of others, exacerbating the social inequalities that exist in the country.
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