FORMATION AND EXECUTION OF STATE AND LOCAL BUDGETS UNDER MARTIAL LAW

Abstract

The article is devoted to the study of the state of formation and execution of state and local budgets, as well as the management of financial resources under martial law. It was noted that with the beginning of the Russian invasion, the conditions related to the filling of budgets and the formation of expenditures changed, as a number of Ukrainian enterprises ceased economic activity. This state of affairs led to a budget deficit and problems with servicing the state debt, which is significantly different from peacetime conditions. In the conditions of martial law, all levels of budgets are faced with the problem of lack of financial resources, the search for additional reserves to fill the revenue part of the budget with the aim of forming the appropriate amounts of budget expenditures and further execution of budgets. This determines the relevance of this issue. The purpose of the article is to study the peculiarities of the formation and use of state and local budget funds in 2022. General scientific and special methods are used: analysis, synthesis, grouping, description, comparison, theoretical generalization and abstract-logical. The practical value of the research results lies in the analysis of the budget indicators of the consolidated budget for recent years, as well as the indicators of the state and local budgets by income and expenses. The share of the State Budget of Ukraine and local budgets in the overall structure of the consolidated budget of Ukraine was studied, and their changes that occurred with the introduction of martial law were substantiated. In addition, the directions of directing financial resources by industries and programs were analyzed. The importance of international financial assistance, which actually ensured the stabilization of the financial system of Ukraine, was emphasized. It was established that the specific weight of expenditures of the State Budget of Ukraine is aimed at ensuring the defense capability of Ukraine against Russian aggression, which is quite logical. Instead, local budget expenditures were focused on financing preschool and general secondary education, both through own funds and educational subvention from the state budget. Attention is focused on the expansion of further scientific research on the management of financial resources in the conditions of martial law.