GENERAL CONCEPTUAL AND PRACTICAL ASPECTS OF THE INFLUENCE OF THE FINANCIAL MARKET ON THE DEBT PROBLEMS SOLUTION

Abstract

The article is devoted to the justification of conceptual and practical grounds of financial market potential usage in debt problems solution.
Emphasis is placed on the insufficient implementation of the dependence of the effectiveness of socio-economic development on the existing financial and economic space of the state, which, being included in one interaction, provide an opportunity to obtain synergistic effects.
Among the important prerequisites for the conceptual and practical transformation of the financial and economic space of the state, which in its new quality will have an impact on development, the problems of public debt and the possibilities of the financial market to solve them are considered. Taking into consideration their deep impact on the dynamics of financial relations, the following chain is outlined: "development – space – debt problems – financial market", the imbalance of the latter can influence the effectiveness of change in society, economy and finance in a negative way. It is stated that each of the above-mentioned links with the condition of their own development makes the natural determinant of the other one. It is simultaneously substantiated that the general methodological and practical basis for achieving the appropriate balance is rooted in the spatial approach thus it lies in the matter of financial space formation.
It is shown that knowledge of ways to optimize debt policy remains in the process of formation. Debt resolution continues to be dominated due to traditional factors and is not being sufficiently expanded for account of those that have an indirect impact, particularly connected with deeper infiltration into the multidimensional interrelations with the determining factors of the financial space. The factors that give the financial market a special place among the components of development and strengthening of the financial space are presented. The relevance of using the whole range of functional features of this market, which goes beyond the implementation of debt financing, and aimed at strengthening the financial space, is substantiated. The only basis that can optimize the development policy is schematically represented by the chain "financial market – debt problems – space – development". Increased attention to the role of the financial space in solving debt problems and shaping contribution of the financial market, changes the strategic approach to debt policy and further development in general.