BUDGET POLICY

STORONIANSKA Iryna ¹, PELEKHATYІ Andrii

¹SI “Institute of regional research named after M. I. Dolishniy of the NAS of Ukraine
OrcID ID : https://orcid.org/0000-0002-0237-1409

Ways of modernization of financial support for territorial communities’ development through tasks of administrative-territorial reform

The article surveys the problem of financial support for rural communities through the implementation of the administrative-territorial reform. The authors have outlined the basic priorities and formed the methodological basis of rural communities ’ development in Ukraine on the basis of fundamental principles concepts: sustainable development, social-oriented development, multifunctional development and fiscal decentralization. The conceptual model of the financial support of rural communities is developed. The main problems of the formation and execution of local budgets are determined. The complex analysis of indicators of budget support of rural communities in Lviv region in terms of districts and rural communities of different types has been made. All this is determined as the basic concept of financial sustainability of local communities. The possibility of usage of self-taxation as a form of financial support for rural communities ’ development is shown. A gradual expansion of sources and increase of non-budgetary financial resources ’ volume that influence on reactivation of investment activity of territorial communities in rural areas is suggested. Possible directions of social and economic development of local communities according to the types of rural formations are concretized.

Keywords: financial support for the development of rural communities, the administrative- territorial reform, intergovernmental transfers, decentralization, local finances.

JEL: H70, H71, H72, H74

STORONIANSKA I. . Ways of modernization of financial support for territorial communities’ development through tasks of administrative-territorial reform / I. STORONIANSKA, A. PELEKHATYІ // Фінанси України. - 2014. - № 10. - C. 97-108.