Program Budgeting in Managing Public Finances

Abstract

The COVID-19 pandemic and the economic recession significantly reduced the amount of financial resources that were supposed to be used to solve the most acute problems of social development, which caused the need to update and rethink the theoretical and practical experience in the functioning of targeted programs as a tool for managing public finances of the Russian Federation. The article summarizes the problems of developing program budgeting at the present stage, it indicates the sources of their origin. The study was carried out using a set of general scientific methods; empirical results were obtained by observing and collecting data on practical implementation of state and municipal programs from official sources. The authors performed a critical analysis of scientific publications and reports of state and local government bodies on the development of program budgeting and public finance management. The shift in the perspective of scientific research in comparison with the initial stage of implementing the program principles of public finance management is indicated. The authors highlighted the main methodological difficulties that prevent qualitative improving the tools of program budgeting in general, as well as at each of the management levels separately. The key shortcomings in the practical application of program budgeting are formulated and their logical connection with the factors that constrain the pace and influence the vector of socio-economic development of the Russian Federation is indicated. The directions of further improving program budgeting are given and the conditions for on target efficiency of both new and established methods and techniques that affect the final effectiveness of state and municipal programs are stipulated. The results of the study can be used to adjust the strategic and program documents of the authorities in order to improve the management of public finances.

Effectiveness of Regional Public Finances: Concept and Evaluation

“…Проблематика оценки результативности использования общественных финансов рассматривается в работах О.Г. Аркадьевой [1] На наш взгляд, необходимо уточнение категории «результативность» в нормативно-правовых актах в целях ее разграничения с понятием «эффективность» на основе их трактовок, изложенных в ISO 9000 как наиболее общепринятых в научном и экспертном сообществах.…”