BUDGET DECENTRALIZATION AS A NECESSARY CONDITION OF THE REGIONAL DEVELOPMENT

Abstract

The article considers the problems of budgetary decentralization in Ukraine as a necessary condition of the regional development. Based on the study of this problem, the author concludes that if one considers budget decentralization as a process of filling local budgets through the redistribution of tax payments, such an approach will not lead to real changes in the regional economy and will not enable to really improve the living standards of the regions. The article substantiates that today the question is not only about filling the local budget, but also about the quality of financial management, which reveals the true meaning of the decentralization, namely: giving the regions greater freedom to use funds collected in the form of local taxes in order to improvem living standards of the population, developm the regional economy on the basis of effective use of the local budget resources.