Local Government expenditures
Expenses are also classified, according to their economic nature, into “Mandatory expenses” (consisting of Personnel expenses,Social assistance expenses, and Debt service), the payment of which is mandatory and the amount of which is difficult to reduceat the discretion of individual local governments, “Investment expenses” including Ordinary construction work expenses, and “Otherexpenses,” (such as Goods expenses, Subsidizing expenses, Reserves, Transfers to other accounts).
Most public services are provided by local authorities, which must meet staffing and service levels set by the national government.
