BALANCED BUDGET FORMATION AS A TOOL FOR FINANCIAL SECURITY OF UKRAINE

Abstract

Ensuring a balanced state budget is a key issue for Ukraine, as chronic budget deficits pose serious risks to the country's financial security and economic stability. The long-term existence of the budget deficit leads to an increase in public debt, high inflation, a decrease in investment and a general deterioration of the socio-economic situation.

An analysis of the implementation of the state budget of Ukraine in recent years showed that a significant deficit was observed for a long period, which had various causes, such as economic crises, political instability, military actions and emergency situations. These factors led to a significant reduction in budget revenues and an increase in expenditures.

To overcome the budget deficit and ensure the financial security of the state, it is necessary to implement an effective budget strategy, which includes, in particular, coordination of fiscal policy with economic cycles, balancing of social costs and investments in human capital and innovation, as well as effective management of public debt.

It is also important to strengthen financial discipline, improve the efficiency of the use of budget funds, and introduce measures to minimize corruption risks. Ensuring a stable and balanced state budget will contribute to strengthening the financial security of Ukraine, improving the general standard of living of the population and increasing the competitiveness of the national economy.

It is established that financial security is the basis of stability and development of any sovereign state. For Ukraine, which faces serious economic and political challenges, ensuring financial security is especially important. In the context of globalization and integration processes, a balanced budget is not only an indicator of economic stability, but also a tool for protecting national interests. The importance of a balanced state budget for ensuring the financial security and economic stability of Ukraine is substantiated. The state of the budget deficit in Ukraine, its causes and consequences for different periods, starting from 2008, are analyzed. Statistical data on inflation indices and execution of the state budget are provided. Strategies for achieving a budget balance were discussed, including the active role of the state and the alignment of fiscal policy with economic cycles. The importance of effective deficit and public debt management to stimulate investment and increase the competitiveness of the economy. Recommendations have been made to ensure a balance between social spending and investment in human capital and innovation.