362.3mln Euros Cash Surplus -For First Time- By Municipalities All Over Greece

(Photo credit: Wikipedia)

The Troika might be shoving harsh austerity down our throats here in Greece, but it looks like some of these measures have helped Greek municipalities record a significant surplus in just the first two months of the present year, in contrast to the past when corruption, over spending and mishandling of funds were the A and Z of local politics. According to reports, the integrated local administration budget presented a cash surplus of 362.3 million Euros in the first two months of 2013. Interior Minister Evripidis Stylianidis stated on Monday that "the counterbalancing of public spending, the introduced spending cuts, and the increase in municipal revenues from sources other than state coffers created a surplus of 362.3 million Euros in the first two months of 2013, further reinforcing the economic independence of Local Administration Organizations (OTA)."

He said that the surplus in February 2013 reached 180.1 million Euros, while a satisfactory collection of revenues and spending cuts implemented in compliance with the 2013-2016 Medium-Term Fiscal Strategy, are continuing.

    "The new reality created in local administration on a daily basis as a result of systematic work and cooperation lays the foundations for a new model, free from past dependencies. This is going to give a greater economic and administrative independence to municipalities and regions".

The surplus recorded was the result of increased revenues from municipal taxes and fees - given that state budget subsidies have been considerably reduced (12 pct) compared with the first two months of 2012 - and a 13 pct reduction in spending compared with the same period in 2012.