What is subsidy?

Subsidy is the money allocated from the state budget in a free and non-refundable form to the state and non-state enterprises and organizations to cover losses caused by their current activities or to promote their activities. Subsidies are, in principle, allocated to cover the difference between the market price (or the cost price) and the actual price of a given good or service.

What is dotation?

Dotations are transfers from the state budget to the communities budgets based on the principle of financial equalization. These are non-targeted allocations directed to the financing of current expenditures reflected in the administrative section of the community budget.

What is subvention?

Subventions are funds given free of charge and non-refundable for the implementation of a specific target type of expenditure (a program) carried out by the community.