chapter  6
4 Pages

Republican budgetary rights

Since 1954, when enterprises started being transferred from the all-Union to republican jurisdiction, the republics had argued that the extension of their economic rights should be comprehensive and spread to such areas as pricing, credit and fi nances and, in particular, the budget. In 1955, the republics asked for the right to compile republican and local budgets based on limits set by Moscow, and for some fl exibility to manipulate the budget. 1 In 1956, at the peak of the reorganization of the ministerial system, the centre and the republics jointly drafted a project ‘On the budgetary rights of the Union republics’. With the Sovnarkhoz reform, the margins of republican authority outlined in the 1956 project were no longer satisfactory. So work continued and in spring 1958, the USSR CM presented drafts of two documents designed to regulate centrerepublic relations in the budget area: the Law on budgetary rights of the USSR and Union republics (hereafter ‘Budget Law’) and Regulations on compiling and fulfi lling the state budget (hereafter Budget regulations). By June 1958, the CMUk fi nished its comments on both of these documents. Compared to 1956, the expectations of the Ukrainian leadership had grown.