Directions of legal solutions concerning changes in the structure of individual debt ratios of local authority units

• Main Author: Alicja Młynarczyk
• Format: Article
• Language: Polish
• Published: Wydawnictwo Naukowe Uniwersytetu Mikołaja Kopernika 2018-06-01
• Series: Prawo Budżetowe Państwa i Samorządu
• Subjects: legal character of a debt of territorial self-government units; restructuring of debts of local authority units; modification of the structure of the individual debt ratio; increase of financial security of the territorial self-governments
• Online Access: http://apcz.umk.pl/czasopisma/index.php/PBPS/article/view/PBPS.2018.009/15190

This paper aims at presenting the legal status of debts of local authorities and analysing the legal structure of individual debt ratios of such units. Limits of the statutory indebtedness aims mainly at to hindering going into excessive debts. The ratio mentioned above should also foster economic development of local authorities. For a long time, the doctrine has been calling for an introduction of certain changes in a structure of an individual debt ratio. The Ministry of Finances performs works to make it possible to restructure and repay debts earlier. Other intended changes are designed to increase financial security of territorial self-governments, what may result in lowering their creditworthiness and investment potential. This paper discusses issues related to finding an optimal legal character of the individual debt ratios.