THE LEGAL REGIME OF BUDGETARY FUNDS: BALANCING EFFICIENT USE AND CONTROL

The purpose of the paper is to summarise and present the legal, institutional and practical dimensions of balancing efficient use and control of budgetary funds in Ukraine. The objective of the present study is twofold: firstly, to identify the current challenges in the implementation of the effici...

Full description

Saved in:
Bibliographic Details
Main Author: Anton Shukhnin
Format: Article
Language:English
Published: Izdevnieciba “Baltija Publishing” 2025-07-01
Series:Baltic Journal of Economic Studies
Subjects:
Online Access:http://baltijapublishing.lv/index.php/issue/article/view/2936
Tags: Add Tag
No Tags, Be the first to tag this record!
_version_ 1850116604374810624
author Anton Shukhnin
author_facet Anton Shukhnin
author_sort Anton Shukhnin
collection DOAJ
description The purpose of the paper is to summarise and present the legal, institutional and practical dimensions of balancing efficient use and control of budgetary funds in Ukraine. The objective of the present study is twofold: firstly, to identify the current challenges in the implementation of the efficiency principle in public spending, and secondly, to draw comparative insights from the practices of the European Union and the United States. Methodology. The research employs a comparative legal analysis and policy evaluation approach. The study is founded on an examination of Ukrainian legal norms, institutional frameworks, and audit reports, complemented by an overview of foreign models of public finance oversight. A comprehensive analysis was conducted utilising official data from the Accounting Chamber of Ukraine, government regulations, and OECD materials. The objective of this analysis was to assess the effectiveness of budgetary governance and control mechanisms. Results. The findings indicate that, despite the formal incorporation of the efficiency principle into Ukrainian legislation and the existence of designated oversight bodies, significant gaps remain in practice. It has been observed that a number of issues are frequently encountered, including, but not limited to, inefficient spending, unutilised budget allocations, and a paucity of implementation of audit recommendations. In contrast, the EU and U.S. models demonstrate that effectiveness can be achieved through performance-based budgeting, transparent accountability, and institutionalised audit systems with follow-up mechanisms. Practical implications. The document presents a series of policy recommendations designed to enhance the management of Ukraine's budget, including the reinforcement of internal control systems, the implementation of real-time monitoring tools, the alignment of evaluation methodologies with international standards, and the cultivation of a culture of results-oriented governance. It is also emphasised that efforts must be made to enhance the institutional capacity of financial control bodies, and that measures must be implemented to ensure the enforceability of their findings. Value / Originality. This study makes a contribution to the development of a conceptual framework for balancing efficiency and accountability in public finance. The text provides practical insights into the improvement of legal and administrative arrangements for the use of budgetary funds in transitional and conflict-affected economies, such as Ukraine.
format Article
id doaj-art-434e2abaa7f847ef8df8a153e6345521
institution OA Journals
issn 2256-0742
2256-0963
language English
publishDate 2025-07-01
publisher Izdevnieciba “Baltija Publishing”
record_format Article
series Baltic Journal of Economic Studies
spelling doaj-art-434e2abaa7f847ef8df8a153e63455212025-08-20T02:36:16ZengIzdevnieciba “Baltija Publishing”Baltic Journal of Economic Studies2256-07422256-09632025-07-0111310.30525/2256-0742/2025-11-3-28-35THE LEGAL REGIME OF BUDGETARY FUNDS: BALANCING EFFICIENT USE AND CONTROLAnton Shukhnin0Classic Private University, Ukraine The purpose of the paper is to summarise and present the legal, institutional and practical dimensions of balancing efficient use and control of budgetary funds in Ukraine. The objective of the present study is twofold: firstly, to identify the current challenges in the implementation of the efficiency principle in public spending, and secondly, to draw comparative insights from the practices of the European Union and the United States. Methodology. The research employs a comparative legal analysis and policy evaluation approach. The study is founded on an examination of Ukrainian legal norms, institutional frameworks, and audit reports, complemented by an overview of foreign models of public finance oversight. A comprehensive analysis was conducted utilising official data from the Accounting Chamber of Ukraine, government regulations, and OECD materials. The objective of this analysis was to assess the effectiveness of budgetary governance and control mechanisms. Results. The findings indicate that, despite the formal incorporation of the efficiency principle into Ukrainian legislation and the existence of designated oversight bodies, significant gaps remain in practice. It has been observed that a number of issues are frequently encountered, including, but not limited to, inefficient spending, unutilised budget allocations, and a paucity of implementation of audit recommendations. In contrast, the EU and U.S. models demonstrate that effectiveness can be achieved through performance-based budgeting, transparent accountability, and institutionalised audit systems with follow-up mechanisms. Practical implications. The document presents a series of policy recommendations designed to enhance the management of Ukraine's budget, including the reinforcement of internal control systems, the implementation of real-time monitoring tools, the alignment of evaluation methodologies with international standards, and the cultivation of a culture of results-oriented governance. It is also emphasised that efforts must be made to enhance the institutional capacity of financial control bodies, and that measures must be implemented to ensure the enforceability of their findings. Value / Originality. This study makes a contribution to the development of a conceptual framework for balancing efficiency and accountability in public finance. The text provides practical insights into the improvement of legal and administrative arrangements for the use of budgetary funds in transitional and conflict-affected economies, such as Ukraine. http://baltijapublishing.lv/index.php/issue/article/view/2936budgetary fundsefficiencyperformance auditpublic financial controlUkrainecomparative legal analysis
spellingShingle Anton Shukhnin
THE LEGAL REGIME OF BUDGETARY FUNDS: BALANCING EFFICIENT USE AND CONTROL
Baltic Journal of Economic Studies
budgetary funds
efficiency
performance audit
public financial control
Ukraine
comparative legal analysis
title THE LEGAL REGIME OF BUDGETARY FUNDS: BALANCING EFFICIENT USE AND CONTROL
title_full THE LEGAL REGIME OF BUDGETARY FUNDS: BALANCING EFFICIENT USE AND CONTROL
title_fullStr THE LEGAL REGIME OF BUDGETARY FUNDS: BALANCING EFFICIENT USE AND CONTROL
title_full_unstemmed THE LEGAL REGIME OF BUDGETARY FUNDS: BALANCING EFFICIENT USE AND CONTROL
title_short THE LEGAL REGIME OF BUDGETARY FUNDS: BALANCING EFFICIENT USE AND CONTROL
title_sort legal regime of budgetary funds balancing efficient use and control
topic budgetary funds
efficiency
performance audit
public financial control
Ukraine
comparative legal analysis
url http://baltijapublishing.lv/index.php/issue/article/view/2936
work_keys_str_mv AT antonshukhnin thelegalregimeofbudgetaryfundsbalancingefficientuseandcontrol
AT antonshukhnin legalregimeofbudgetaryfundsbalancingefficientuseandcontrol