FINANCIAL SUPPORT FOR RESTORATION OF COMPETITIVENESS OF TERRITORIAL COMMUNITIES IN UKRAINE

Abstract

The article examines the problem of financial support for restoring the competitiveness of territorial communities in the conditions of reduced budget revenues and the limitation of targeted state programs for the development of regions as a result of the war. The peculiarities of the formation of revenues of the budgets of territorial communities and the influence of the dynamics of these revenues on ensuring the sustainable development of territories are determined. The peculiarities of covering the deficit of the budgets of territorial communities in the conditions of limited financial resources due to the prioritization of the state's defense expenditures have been studied. The state of subsidization of local budgets of Ukraine since the beginning of the war has been analyzed and the prospects for the growth of revenues to local budgets in the future have been determined. An analysis of the expenditures of the budgets of territorial communities and their main directions by types of activity was carried out. The possibility of covering the deficit of local budgets at the expense of transfers was considered, as well as the specifics of the implementation of target programs for the sustainable development of regions in relation to their financial support were determined. Budget decentralization and administrative reform, which resulted in the creation of territorial communities in Ukraine, led to a systemic transformation of the entire budget process at the regional level. At the same time, as practice has shown, the general trend has become an increase in the level of stability of the budget system and an increase in the self-sufficiency of local budgets. This is what allowed the territorial communities to withstand the crisis period of the war caused by the aggression of Russian criminal degenerate scoundrels. A significant decrease in tax revenues, a general change in financial flows in the national economy, and a decline in economic activity that occurred with the beginning of the war significantly affected the dynamics of filling both state and local budgets, in particular, the budgets of territorial communities. However, the financial autonomy of communities, which was formed as a result of budget decentralization, led to the preservation of the stability of the financial system and formed the prerequisites for ensuring the normal functioning of the local self-government system even in wartime.