№ 3/2019

Fìnansi Ukr. 2019 (3): 56–72https://doi.org/10.33763/finukr2019.03.056

PUBLIC FINANCE MANAGEMENT

BOHDAN Tetiana ¹

¹NGO “Growford Institute”
OrcID ID : https://orcid.org/0000-0002-6133-5336

Acceleration and improvement of the quality of public investments in Ukraine

The article reveals the role of public investments in the country’s socio-economic development and shows a discrepancy between the volume and structure of public investment and the tasks of economic modernization and accelerating economic growth in Ukraine. International comparisons of public investment in Ukraine and the EU countries are carried out. The presented applied research is based on the qualitative methods, the most significant of which are observations and generalizations. The author identifies the main shortcomings and weaknesses of government institutions supporting the planning of public investments in Ukraine, project selection and evaluation, financing and monitoring of the investments funded out of the budget. Drawing policy recommendations, the author proposes a rise in the volume of public investment financing up to 5-6 % of GDP and distribution of public investments in favor of specific branches of economic infrastructure, social infrastructure and innovative sectors (combined with indirect government support). A set of measures is also developed, which is aimed at enhancing efficiency of the public investment management, in particular, creating a strategic planning system for the public investments in our country, establishing the clear procedures and criteria for selecting investment projects, elaborating the uniform methodological guidelines for project evaluation, conducting systematic audit and monitoring of the public investment projects. The main functional responsibilities of the Ministry of Economic Development and the Ministry of Finance of Ukraine are defined in the framework of the updated public investment management system, and expected results of the implementation of elaborated measures are presented.

Keywords:management of public investments, budget capital expenditures, investment project, medium-term planning

JEL: E62, H54, H83

BOHDAN T. . Acceleration and improvement of the quality of public investments in Ukraine / T. . BOHDAN // Фінанси України. - 2019. - № 3. - C. 56-72.

Article original in Ukrainian (pp. 56 - 72)

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