FEATURES OF FORMATION AND PRIORITIZATION OF BUDGET EXPENDITURES IN UKRAINE IN THE CONDITIONS OF CURRENT CHALLENGES

Abstract

The article is devoted to the study of the features of the formation and prioritization of budget expenditures in the  context of modern challenges. The priorities of state policy in accordance with the regulatory documents of Ukraine are  summarized. Based on data from the Ministry of Finance of Ukraine, the indicators of the consolidated state budget and  the level of its deficit are analyzed. The dynamics, structure and growth of expenditures of the consolidated state budget according to the functional approach during 2019–2023 are studied. The largest share of budget expenditures in 20212023 is directed to financing the defense sector, which is justified in the context of ensuring national security. At the same time, expenditures on social protection, education, healthcare, and economic activity have decreased, which creates risks for ensuring social stability, supporting human capital, and restoring the country's economic potential. Analysis of budget indicators also indicates a significant increase in its deficit, which reached its maximum in 2023. The ranking of the top 10 state institutions that had the largest volumes / the largest growth / decrease in budget financing in 2021 and 2023 in Ukraine is determined. The results of the own sample survey of the population of the Rivne region on the priorities of Ukraine's budget policy in modern conditions are analyzed. Among the most priority measures in forming the expenditure part of the budget, according to the survey results, are reducing the number and costs of maintaining state officials at all levels; ensuring transparency of budget financing, tough fighting against corruption; strengthening criminal liability for misuse of budget funds. According to estimates, the population considers the following areas of budget policy to be the most priority: education, social protection, healthcare, and defense.