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DOI: http://doi.org/10.31617/visnik.knute.2018(121)01
 

UDC 336.143:330.3
 
CHUHUNOV Igor,
Doctor of Economics, Professor, Head of the Department of Finance, Kyiv National University of Trade and Economics
 
MAKOHON Valentyna,
Candidate of Economic Sciences, Senior Researcher, Associate Professor of the Department of Finance, Kyiv National University of Trade and Economics
 
BUDGET STRATEGY IN THE CONDITIONS OF ECONOMIC TRANSFORMATIONS
 
Background. At this stage of the  development of public finance system, the important task is to reveal the essence of the budget strategy of the country's socio-economic development, aimed at ensuring macroeconomic stability, accelerating economic growth, development of human potential. It is important to define the budget architecture as an instrument of financial and budgetary regulations, develop the institutional principles of budget strategy formation, improve the system of perspective budget planning as a mechanism of budget policy coordination and priorities of socio-economic development of the country, provisions on the development of financial and budgetary relations, assessment of the efficiency and effectiveness of budget programs, development of priority tasks of the budget strategy in the conditions of economic transformations, approaches to budget its policy on revenues, expenditure budget, intergovernmental relations, budget deficit, public debt in relation to the transformation of the socio-economic processes.
The aim of the article is to reveal theoretical foundations and improve the methodological provisions of the formation and implementation of the budget strategy of economic growth.
Materials and methods. The paper uses a set of methods and approaches, which allowed to ensure the conceptual unity of the research. System and structural methods are used when disclosing the essence of the budget strategy of socio-economic development of the country. Using comparative and factor methods, the experience of developing and implementing of  the  budget strategy in developed and transformational economies are  summarized. Methods of scientific abstraction, synthesis are used in the definition of budget architectonics as an instrument of financial and budgetary regulations, the development of institutional foundations for the formation of the budget strategy.
Results. The essence and role of the budget strategy for ensuring economic growth and sustainable development of society are revealed. The priority tasks of the budget strategy in the conditions of economic transformations are determined. The analysis and estimation of the share of consolidated indicators of the state and local budgets, the  state and guaranteed state debt of Ukraine in the gross domestic product were carried out. It is substantiated that the formation and implementation of the balanced budget strategy will promote dynamic macroeconomic balance and development of social relations.
Conclusion. The budget strategy is a powerful instrument for realizing the strategic goals of socio-economic development of the country, ensuring the creation of conditions for sustainable economic growth, modernizing the economy and social sphere, raising the level and the quality of life of the population. The basis of the budget strategy is the directions and tasks that determine the long-term perspective of the formation and use of financial resources of the state and local budgets, ways of solving problems arising from the peculiarities of the country's social development and the cyclical nature of economic processes, the  dynamic balance, stability and stability of the budget system functioning. Achievement of the strategic goals of the country's social and economic development depends on the degree of consideration in the budget strategy of the institutional environment  trends of the fiscal space and the social development dynamics. Increasing the efficiency of the budget strategy and its interactions with financial institutions at the current stage of the system development  of public finances necessitates deepening the study of budget architecture, developing the concept of its institutionalization on the basis of substantiation of the budget optimal ratios, tax, social, monetary and public debt components that determine the budget space. The formation of sound budget architectonics will provide an opportunity to respond to the impact of endogenous and exogenous factors, changes in the external economic situation, preserving the appropriate budget parameters of integrated economic development and ensuring the financial stability of the state through the use of qualitative forward-looking budget forecasting and planning.
 
Keywords: budget, budget system, budget policy, budget architectonics, budget strategy, economic transformations, economic growth.

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