Doctor of Economics, Professor, Professor of the Finance Department of Kyiv National University of Trade and Economics
BUDGET PLANNING IN UKRAINE
Background.The formation of a comprehensive system of budget planning, including strategic, tactical and operational levels, is a prerequisite for the creation of a mechanism for a holistic public administration, that is, the effective implementation by public authorities of not only planning functions, but also of organization, motivation and control. This will contribute to the normalization of socio-economic indicators in the long-term and the transition of our state to sustainable economic development.
The aim of the article is to substantiate the need for the development of the system of strategic budget planning in Ukraine on the basis of research of leading foreign experience and assessment of domestic scientific developments and practices of state budgeting.
Materials and methods.The research was conducted using the methods of theoretical generalization, comparative analysis, analysis and synthesis, which made it possible to clarify the concept of budget planning and budget forecasting, to determine the problems of state budgeting in Ukraine, to substantiate the prospects of development of the budget planning system on the basis of the budget strategy.
Results.The introduction of medium-term budget planning in Ukraine is now realistic. According to the results of budget forecasting, a number of documents of state forecasting for the long, medium and short-term periods, in particular forecasts of economic and social development of Ukraine, as well as forecasts of the development of the Autonomous Republic of Crimea, oblasts, cities of Kyiv and Sevastopol, and certain territorial communities should be formed. The central role in the system of financial plans of the state in the long-term perspective is taken by the budget strategy. Strategic budget planning is a process of coordinating the financial interests of state authorities and local self-government on the basis of scientifically based forecasting of macroeconomic indicators, justification of budget expenditures, determination of sources of income, definition of indicators of interbudget equalization, optimization of indicators of budget deficit and state credit in order to ensure the country's achievement of a stable economic and social development in the long run. From the perspective of the process approach, fiscal forecasting involves a retrospective analysis of the indicators of budgets of different levels in relation to macroeconomic indicators of the country, and based on the built economic models and the revealed economic patterns, the justification of future possible scenarios for the development of budgetary relations and the values of the corresponding budget indicators. From the standpoint of the system approach, budget forecasting is a system of methods and tools for determining the future state of the main budget indicators, which underlies the construction of budgetary relations in the long run: revenues, expenditures, intergovernmental transfers, borrowed resources and public debt.
Conclusion.The results of the study of the experience of introducing long-term budget planning make it possible to identify such advantages in a market economy: creating opportunities for timely improvement of the budget process; allowing to form a peculiar model of development of budget relations in the strategic perspective; formation of a system that prevents contradictions between strategic plans of socio-economic development of the state and certain territorial communities, with appropriate financial resources; ensuring the consistent implementation of the strategic objectives of fiscal policy in operational financial plans; increasing the transparency of the budget process.
As a result, the further introduction and development of a multi-level system of budget planning will enable long-term fiscal balance and stability of the country to be ensured not only at the national level, but also at the level of a certain territorial community.
Keywords:financial planning, budget planning, budget forecasting, strategic, tactical and operational budget planning.
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