Transparency of the budget process as a prerequisite for financial decentralization in Ukraine

  • Received May 2, 2018;
    Accepted May 25, 2018;
    Published June 8, 2018
  • Author(s)
  • DOI
    http://dx.doi.org/10.21511/pmf.07(1).2018.02
  • Article Info
    Volume 7 2018, Issue #1, pp. 12-20
  • TO CITE АНОТАЦІЯ
  • Cited by
    2 articles
  • 620 Views
  • 13 Downloads

Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License

The introduction of a qualitatively new type of relationship between citizens and authorities, one in which every person would be guaranteed real observation and protection of the rights and freedoms in these bodies activity, should be one of the priority areas of socio-political transformation in Ukraine. The urgency of the improving local finances, the formation of local budgets and the use of their funds is increasing due to changes in local self-government.

The article proposes a scientific methodological approach to assessing the level of financial decentralization in Ukraine during the period of the decentralization reform (2014–2017). The universal integral indicator of financial decentralization has been calculated, which has found that local budgets improve public funds management, which is illustrated by the growth of the integral indicator level in dynamics.

A number of recommendations are also provided for improving the budget process transparency for each of the components: budget information openness, the state and effectiveness of budgetary supervision, and public participation in the budget process. The idea of the relationship between the budget process transparency and the results of the financial decentralization reform is proposed.

view full abstract hide full abstract
    • Figure 1. Model for assessing the financial decentralization of a budgetary system
    • Figure 2. Integral indicator of financial decentralization in Ukraine
    • Table 1. Indicators of financial decentralization in Ukraine for 2014–2017
    • Table 2. Assessment of budget transparency of Eastern European countries for 2017