Uman NUH | today: 04/14/2024
| Author(s) |
Nepochatenko Olena O., Doctor of Economics, Professor, Rector of Uman National University of Horticulture, Head of Department, Uman National University of Horticulture Холявіцька К. С., , , |
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| Category | Economics | ||
| year | 2022 | issue | Issue number 100. Part 2 |
| pages | 227-238 | index UDK | 336.1:352 | DOI | 10.31395/2415-8240-2022-100-2-227-238 (Link) |
| Abstract | The article considers the methods of determining the financial stability of local budgets, evaluates the effectiveness of budgeting, determines the level of financial stability. The composition, structure of revenues and expenditures of local budgets of Uman district in dynamics, their financial balancing are analyzed, the reduction of income growth rates in relation to expenditures is revealed. The coefficient analysis of financial stability of local budgets is carried out, which is aimed at determining the level of budget security and financial independence, in comparison with Ukraine and Uman district as a whole. The reform of budget decentralization is aimed at strengthening the financial capacity of territorial communities, whose activities are related to ensuring the economic development of the district, creating an investment-attractive climate, sufficient revenues of local budgets, their rational use. However, the ambiguity of scientists' approaches and the lack of methods for assessing the financial stability of local budgets require the development of a conceptual approach to its assessment. The impact of budget decentralization reform on the financial stability of local budgets should be assessed based on the results of a comprehensive analysis of their revenues and expenditures, determining the impact of factors and modeling their forecasts. The financial capacity of local budgets is the formation of the business climate of the territories, the expansion of business entities, which leads to increased incomes, increased tax revenues to local budgets, the formation of a favorable social infrastructure. Currently, these factors motivate local governments to seek reserves to increase the revenue base of local budgets. Analyzing the dynamics and structure of local budget revenues, we note that the implementation of decentralization reform has a positive impact on increasing the tax capacity of communities and expanding resource potential. According to the results of the research, a conceptual approach to the assessment of the financial stability of local budgets was proposed, the assessment of the financial stability of local budgets was carried out on the basis of the analysis of budget revenues and expenditures. It is determined that currently transfers and tax revenues occupy a significant place in the structure of local budget revenues. During 2018–2019, the financial capacity of local budgets decreased, which is confirmed by the budget deficit indicator. Different methods of assessing the financial stability of budgets were considered. As this issue is very relevant, it is necessary to further develop the most effective approaches to assessing the budget potential of the territory (region, district). Regarding the assessment of financial stability and independence of local budgets, the most effective approach is to calculate quantitative budget indicators and analyze the economic, social and financial condition of the district. Confirmation of the effectiveness of the mechanism for assessing the effectiveness of budgeting to determine the level of financial stability is confirmed by the calculations of the district budget. | ||
| Key words | local budgets, revenues, expenditures, methods, coefficient method, financial stability, deficit, surplus | ||