Chapter 7. Financial Viability: Budgetary Autonomy and Investment Capacity
DOI:
https://doi.org/10.66860/djg.v.i.44Keywords:
Financial viability, Local taxation, Budgetary transparency, Investment, Equalization, Territorial pressureAbstract
Based on the municipalities studied, this chapter analyzes viability through the mobilization of own resources, budgetary transparency (gaps between forecasts and actual results), and investment capacity. It reveals significant heterogeneity in profiles, as well as recurring vulnerabilities: limited local taxation, uncertain transfers, unstable implementation, and dependence on external financing for structuring projects. Case studies illustrate the territorial pressures (demographics, insecurity, suburbanization) that are redefining the scope for action. The chapter concludes by calling for systemic reform: strengthening taxes linked to services, making transfers predictable and equitable, and clarifying responsibilities and obligations.
