Between 2007 and 2010 the debt of Debrecen rose from 8.3 to 27.5 billion HUF; according to the State Audit Office of Hungary, the local government’s banking obligations are unsure to be fulfilled after 2014.
According to the result of the checking process reviewing the financial situation of cities with a county right published today, the balance of the budget of Debrecen between 2007 and 2010 showed a functional surplus in every year, that is totally 7.2 a billion forints.
During the examined three years, Debrecen accumulated 16.7 billion forints lack of funds. The city could insure the financial balance with the withdrawal of exterior sources (a overdraft, a wage advance credit and a short term credit).
The Audit Office has called the attention to the fact that, based on the data of the local government, the financing sources of the banking obligations do not seem to be assured after the year 2014. They recommend to make a business management action plan supported with calculations.
