ADMINISTRATIVE AND LEGAL PRINCIPLES OF ACTIVITIES OF THE CONTROLLING BODIES ON THE USE OF INTERNATIONAL TECHNICAL ASSISTANCE FUNDS

Abstract

Discussions have been ongoing throughout the year in the Ukrainian and European scientific environment regarding the presentation of the economic assistance package of the West for Ukraine, the so-called "Marshall Plan", presented by the Lithuanian Prime Minister Andrius Kubilius in autumn 2017. According to him, Ukraine will receive 5 billion euros in investments into the national economy annually. This amount of assistance, calculated by European experts, will boost the Ukrainian economy by 6-8% each year. [1] But, unfortunately, we, like most Ukrainian citizens, are skeptical about the possibility of such assistance coming to our country, and even more pessimistic are the forecasts about the possible positive effect of its use. There are many reasons for such skepticism. On the one hand, it is the Ukrainian and European bureaucracy, and on the other, there is no effective mechanism for receiving, distributing and controlling the use of international assistance by Ukrainian state bodies. Therefore, according to most domestic experts, until these problems in the use of international assistance in Ukraine are solved, it is unlikely to be able to implement the initiative of former Lithuanian Prime Minister Andris Kubilius. Even Kubilius himself has repeatedly stated that in order for this plan to become a reality, Kyiv must develop a clear list of priority projects prepared at a high technical level, for which financial resourceswould go. [2] The first step, according to European and Ukrainian experts, was to create a special agency in Ukraine, which would be engaged in the preparation of such projects. Considering that almost nothing has been done by the Ukrainian Government in this direction for almost a year, so the time to receive financial assistance under the Marshall Plan is delayed. However, the absence of an agency is only the tip of the iceberg, the biggest problem for Ukraine is the lack of a clear administrative and legal mechanism for attracting, distributing and, most importantly, effective control over the use of international assistance. It is the results of the study of this problem that we devoted our article to. Despite the globalization processes in the world, external financial assistance is gradually gaining in popularity and becoming an effective tool for improving the welfare of the population and the economic development of developing countries or pursuing democratic reforms, Ukraine is falling behind in a number of subjective factors. . Investigating the emergence of the Institute for External Donor Assistance, it can be noted that this process became widespread in the 1960s and at the beginning of the 21st century, after the adoption by 193 member states of the United Nations and at least 23 international organizations of the Declaration. of the UN Millennium, it received a new impetus and began to pass under the auspices of the Millennium Development Goals. They envisaged the cooperation of countries with international financial institutions for the transformation of their economy, the introduction of the latest innovative technologies, changes in economic, political and social nature and as a result of improving the life of the population and overcoming poverty. [3] In this article, we draw attention to the fact that in modern international economic relations, there are two approaches to donor assistance, which were formulated by certain historical processes taking place in the world economy. The first approach is called by scientists as “integrative”. It is based on the implementation of strict standards, which are translated into the language of specific requirements and measures, which in its turn are laid down in the plan calendar of reforms. At the present stage, this approach is applied in the countries which are candidates for EU membership. It is always successful because the assistance implemented in the enlargement countries provides a strategic framework for the transformation processes, while enlargement countries are required to adopt EU institutional standards and develop the necessary infrastructures. The second form of international assistance is more like charity and it does not contribute to the donors’ long-term responsibility for results. Assistance is provided to poor developing and emerging countries, but this assistance is never successful. Keywords: international technical assistance, international financial assistance, state control.