INSTITUTIONAL TRANSFORMATIONS OF THE PUBLIC FINANCE SYSTEM

The article reveals the role of the public finance system in macroeconomic stability, regulation of economic processes, and improving the level and quality of life of the population. The directions of institutional transformations of the public finance system are determined. The authors disclose the provisions on improving the efficiency of public financial resources, improving public debt management tools, developing the institutional environment of public-private partnership, criteria for allocating public financial resources in the unfavorable dynamics of budget revenues. The share of public debt in the GDP of the EU countries is analyzed and estimated. The article proposes provisions to increase the effectiveness of public financial control and audit, improve the system of public forecasting to ensure timely implementation of adequate financial and budgetary measures and respond to the socioeconomic situation in the country, strengthening the strategic nature of public financial and budgetary forecasts. It is substantiated that in the conditions of institutional transformations of formation of budgetary indicators, their architectonics should be carried out proceeding from necessity: optimization of expenses of budgets of various levels; acceptance of new expenditure commitments is possible only if the comparative assessment of their effectiveness is higher than the current commitments, taking into account the timing and level of available financial resources for their implementation; continuous analysis and evaluation of expenditure commitments to determine inefficient costs. The article identifies the importance in the current conditions of development of the public finance system of continuous assessment of fiscal risks to ensure the stability and balance of the budget system; ensuring a sufficient level of flexibility of budget expenditures based on the macroeconomic situation in the country; improving the regulatory and methodological support of the budget process.