PRAGMATISM OF SOCIAL PROTECTION FINANCING AT THE LOCAL LEVEL

Abstract

The article investigates the theoretical and practical foundations of financing social protection at the local level under fiscal decentralization, martial law, and escalating socio-economic challenges in Ukraine. The purpose of the study is to develop theoretical and methodological approaches to understanding the pragmatism of local social protection financing and to substantiate practical directions for its improvement under contemporary conditions.
The methodological framework combines systemic, comparative, institutional, and statistical analysis to evaluate financial mechanisms and expenditure structures. Empirically, the study analyzes the 2025 budget of the Ternopil City Territorial Community. The findings reveal a highly socially oriented budget prioritizing education, healthcare, and welfare, though capital expenditures remain limited due to wartime uncertainty. Systemic challenges include financial capacity disparities among communities, high state transfer dependence, and displacement-driven demand for social services. To address these issues, the study advocates transitioning from an expenditure-oriented model to results-based financial management focused on measurable outcomes, digitalization, and enhanced targeted assistance.
The scientific novelty lies in conceptualizing the pragmatism of social protection financing as an integrated management model that blends budgetary and extra-budgetary sources to boost community resilience. Practically, the findings offer local authorities a concrete framework to optimize budget planning, diversify funding streams, and formulate effective post-war recovery strategies grounded in financial sustainability, transparency, and cross-sector partnerships.