INCLUSIVE BUDGETING: THEORETICAL ASPECTS, PREREQUISITES AND NECESSITY FOR ITS IMPLEMENTATION IN UKRAINE

Abstract

In order to ensure the socio-economic development of Ukraine on the basis of the concept of inclusive sustainable growth, the necessity of introducing technology of inclusive budgeting, which would take into account the benefits of practical use of program-targeted, participatory and gender-based budgeting, has been proved. The main features of inclusive budgeting include: existence of legislatively approved rules, norms and procedures that maximally involve citizens into filling budgets of different levels on the basis of the principle of progressive taxation and provide them with equal access possibilities to public services; maximize the involvement of society members in formulation of the budget programs on the basis of which budget expenditures are determined, as well as in monitoring their implementation, including the reporting procedure. Interpretation of the terms «budgetary inclusion» and «inclusive budgeting» is proposed. In particular, budgetary inclusion is interpreted by the authors as comprehensive access for all stakeholders to formation and use of budgetary resources through the introduction of innovative budgeting technologies. Inclusive budgeting is defined as a technology of budgetary resources management, which reflects the way of influence of the methods, forms, tools, key factors of the budgetary mechanism on distributive relations, is to ensure that the results of formation and use of budgetary resources are priorities of the socio-economic development of the state, based on equal opportunities of population access to public services, active involvement of all stakeholders in budgetary procedures and harmonization of interests of the state and citizens. The main elements of inclusive budgeting include: budget programs; performance indicators for evaluating the implementation of budget programs; budget program executors; initiative, active, financially competent citizens; participatory budgeting. The main stages of integration of inclusive aspects in the budget process are defined: carrying out inclusive budget analysis (analysis of budget requests, budget programs and the state of their financing, budgets in order to identify problems of unequal access of citizens to budgetary resources and public services); formulation of the goals and recommendations to enhance inclusion; making changes to budget requests, budget programs, budgets; monitoring and evaluation of the results of changes made to budget requests, budget programs, budgets.