Akademičnij Oglâd (Jun 2023)
THE PARADIGM OF THE FINANCING OF STATE BUDGET EXPENDITURES OF UKRAINE IN THE CONDITIONS OF THE WAR AND POST-WAR SOCIAL-ORIENTED MARKET ECONOMY
Abstract
The article highlights the problem of financing state budget expenditures in the conditions of the war and post-war market economy, which, for objective reasons, has a significant social burden. The study found that the new paradigm of public financing in the conditions of the war and postwar social-oriented market economy should solve three key tasks: to sufficient finance the defense sector of Ukraine, modernization of the army of Ukraine; to ensure the systematic growth of the main macroeconomic indicators, in particular, the inflow of new foreign investments and, as a result, and, as a result, guarantee an adequate and fair social security system for vulnerable segments of the population and certain social categories of citizens, including those participating in hostilities. The main macroeconomic indicators and indicators of the State Budget of Ukraine in 2018-2023 were studied, and the thesis of significant social pressure on the country’s budget was confirmed. The authours tracked changes in the structure of budget expenditures in 2018-2023 in various key sectors of the economy, in particular, a significant increase in expenditures from the State budget for the defense sector, which was caused by the war. In this regard, an attemt was made to analyse the best practices of foreign countries that faced the situation of limited budgetary funds, crisis tendencies in the economy, accumulation of social pressure and escalation of the military conflict. In particular, the experience of Israel, Turkey and China was analysed. Based on the analysis of the experience of other countries, the authours proposed a model of public-private partnership in the development and support of the post-war socially oriented economy of Ukraine. The model identifies the key participants and the relationship between them on issues of interaction in filling the main budget items, financing key investment-intensive sectors of the economy. The state investment platform «Advantage Ukraine» identifies the following investment-intensive sectors: logistics and infrastructure of 30 projects; defense-industrial complex from 10 projects; energy from 50 projects; agro-industrial complex from 300 projects; pharmaceuticals of 30 projects and others. Therefore, we can conclude that the state and the government are already moving in the outlined direction of public-private partnership, which actually makes the proposed model relevant. As a result of applying the proposed model of public-private partnership, its economic effect was determined, which boils down to the systemic macroeconomic growth of Ukraine, the scaling of investment projects, the development of science in Ukraine, and the overcoming of socio-economic contradictions in the development of Ukraine.
Keywords
