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Fiscal Autonomy of Sub-Central Governments in Turkey

Fiscal Autonomy of Sub-Central Governments in Turkey
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Author(s): Erdal Eroğlu (Independent Researcher, Turkey)and Halil Serbes (Uludağ University, Turkey)
Copyright: 2018
Pages: 18
Source title: Financial Sustainability and Intergenerational Equity in Local Governments
Source Author(s)/Editor(s): Manuel Pedro Rodríguez Bolívar (University of Granada, Spain)and María Deseada López Subires (University of Granada, Spain)
DOI: 10.4018/978-1-5225-3713-7.ch004

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Abstract

Local authorities that are the closest to citizens need to be financially strong to be able to present efficient and high-quality services. Also called fiscal autonomy, this financial strength helps municipalities to have own-revenues enough to meet their expenditures. When municipalities have sufficient own-revenues and have autonomy in planning and budgeting processes, the qualities of their services increase, and they can manage their resources more effectively and efficiently. Enhancing fiscal autonomy is a requirement of citizen-based management approach with high performance. Focusing on the importance of decentralization, this chapter presents the discussions on various definitions and measurements of fiscal autonomy, followed by a section on the state of fiscal autonomy in Turkey by analyzing the indicators of SCG tax revenue/total revenues, SCG own-revenues/total revenues, and transfers from the general budget tax revenues/total revenues. It finally offers some suggestions to enhance fiscal autonomy.

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