Influence of the international sanctions on the regional budget and measures for their neutralization: evidence from Stavropol krai, Russia

Abstract

In recent years the role of regional budgets increases in many countries. It is caused by a variety of reasons: first, function of regulating social and economic processes substantially passes from the central levels of the government to local. There is a shift of accents in financing sources towards regional budgets. Expenses on health care, education, public service of the population, environmental protection are increasingly financed from regional budgets. Secondly, an important task of regional budgets is leveling of distinctions in levels of economic and social development of territories. The state resolves these issues by means of own income of regional budgets and funds allocated for these purposes from higher budgets in the form of the regulating taxes and subventions. The modern budgetary system of the Russian Federation represents the set of the federal budget, budgets of territorial subjects of the Russian Federation, local budgets and budgets of off-budget funds based on the economic relation and legal norms. Despite active work of bodies of the public and municipal administration of improvement of the budgetary process, many problems connected with formation and use of financial resources of regional budgets remain unresolved. In particular, it is possible to allocate such of them as: insufficient fullness of regional budgets, inefficiency of budget outlays, insufficient level of a collecting of taxes. By means of the budget the subject has an opportunity to focus financial resources on priority sites of social and economic development, there is a redistribution of the income between branches, territories, spheres of public work. Formation and budget implementation is the important section in economic science requiring attention from outside not only of economists and politicians, but also ordinary citizens. In this research influence of the international sanctions on the regional budget of the Russian Federation, a measure for their neutralization, identification of reserves by drawing up and budget implementation is considered