№ 12/2015

Fìnansi Ukr. 2015 (12): 63–72

BUDGET POLICY

KUZKIN Yevhen ¹, KOTLJAREVSKYJ Jaroslav ², SHYSHKO Oleksandr ³

¹State Agency of Motor Roads of Ukraine
OrcID ID : https://orcid.org/0000-0002-6790-8238
²SESE “Academy of Financial Management”, Research ID : http://www.researcherid.com/rid/I-4694-2017
OrcID ID : https://orcid.org/0000-0003-3542-6952
³State Educational and Research Organization “Academy of Financial Management”

Foreign experience of fiscal decentralization: problems and their solution ways

In critical conditions of operation of public finance in the period of 2008-2010, for most developed countries economic and social conditions were significantly deteriorated. In the article the advantages and disadvantages of anti-crisis reform of public finances in these countries in terms of fiscal decentralization are observed. It indicates the flexibility in application of progressive forms of intergovernmental transfers, streamlining the budgetary rules and procedures. The necessity of integrated approach to the implementation of the fiscal decentralization is reasoned. This approach is agreed to implement sector reforms, reform of administrative and territorial structure. The features of realization of the fiscal relations structural reform between levels of government in developed European countries during the 2008-2010 crisis and post-crisis period are observed. The negative trends that have provoked significant reduction in fiscal revenues not only to central government but also to local budgets, and thus have led to risks of non-compliance with budgetary discipline, are investigated. The experience of the decision-making management procedures in the area of public finances are generalized, that in high efficiency of state and local institutions could lead to effective and efficient respond to the causes and consequences of a crisis.

Keywords:intergovernmental transfers, fiscal decentralization, public finance

JEL: H60, H67

Kuzkin Y. . Foreign experience of fiscal decentralization: problems and their solution ways / Y. . Kuzkin, J. . Kotljarevskyj, O. . SHYSHKO // Фінанси України. - 2015. - № 12. - C. 63-72.

Article original in Ukrainian (pp. 63 - 72)

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