№ 3/2017

№ 3/2017

Nauk. pr. NDFI 2017 (3): 5–20https://doi.org/10.33763/npndfi2017.03.005

PUBLIC FINANCES

GASANOV Sergіi ¹

¹SESE “The Academy of Financial Management”
OrcID ID : https://orcid.org/0000-0002-7454-0419

Multidirectional impacts of public corporations on the state of public finances in Ukraine

The article reveals the multidirectional influences of public corporations on the state of public finances in Ukraine. The activities of public corporations affect the formation of revenues and expenditures of the general government sector, and therefore can serve as one of the factors for achieving fiscal stability or, conversely, increasing the disequilibrium of public finances. The direct influence of public corporations on the state of public finances is analyzed in the following directions: payment of taxes and charges to the state budget, tax benefits; the deduction of part of the net profit and dividends accrued on the state share to the state budget; budgetary financing of corporations due to their unprofitability; provision of loans under state guarantees; accumulation of unsecured state accounts payable by corporations. It is also necessary to assess actual and potential loss of income (for example, tax shortfalls) and the likely increase in costs (in particular, in the case of payments on publicly guaranteed debt obligations) due to inefficient financial activities of state corporations. The latter may also have an indirect effect on the state of public finances through quasi-fiscal operations. The implementation of international corporate governance standards and guidelines for state-owned enterprises in national practice will enhance the transparency of public sector finance in the overall context of public sector reform goals, public finance management systems to ensure their sustainability in the medium and long term.

Keywords:public corporations, public finances, general government sector, quasi-fiscal operations, fiscal risks

JEL: G34, H32, H64, L32

Gasanov S. . Multidirectional impacts of public corporations on the state of public finances in Ukraine / S. . Gasanov // Наукові праці НДФІ. - 2017. - № 3. - C. 5-20.

Article original in Ukrainian (pp. 5 - 20)

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