Editorial – On life support

Governance shortcomings, poorly controlled tax base, ineffective collection mechanisms… Without strategic guidance or vision, local taxation continues to be structurally underutilized. The Court of Auditors has (once again) drawn attention to the dysfunctions that characterize what could be one of the main levers of financial autonomy for local authorities.
Despite the implementation of advanced regionalization, local authorities plan, develop programs, launch projects… but have little room for maneuver.
Without real financial autonomy, advanced regionalization cannot produce integrated development. Regions will continue to try to coordinate public policies as best they can, from employment to infrastructure and attractiveness, without being able to control the budgetary tools that would enable them to articulate and implement these policies. As a result, we are dealing more with managers of projects financed by the center, dependent on transfers that are sometimes fragmented or delayed. However, it is well known that territorial development cannot be decreed from the center. It is built on local realities and the priorities of each region. Better still, this financial autonomy will make it possible to stop keeping territories on life support. Strengthening financial capacity, with an effective local tax system, is an approach that will make local leaders more accountable.
Today, rectifying the situation requires a clear political choice, undertaking in-depth reform, enabling the modernization of the tax base, the simplification of taxes and duties, and the strengthening of capacities in terms of tax assessment and collection. Without this autonomy, regionalization will be limited to planning efforts, without the means to become a real driver of integrated development.