Budget Limitations in the Process of Formation of the Digital Economy

Abstract

The purpose of the work is to determine the influence of budget limitations on the process of the digital economy formation and to determine the perspectives of overcoming the budget limitations of the digital economy formation in modern Russia. For that, the authors use the methods of regression and correlation analysis, which allow determining the character and strength of dependence of the value of digital economy indices, which reflect the country’s readiness for digital transformation (according to the IMD), on the value of budget deficits of countries of the world (according to the IMF). For ensuring the authenticity of data, the research objects are countries of the G7 and countries of BRICS. It is determined that the higher the deficit of state (federal) budget, the lower the level of country’s readiness for digital transformation and the lower the progress in the digital economy’s formation. The authors find out that high and increasing deficit of the federal budget in the RF leads to serious budget limitations of the process of the digital economy’s formation, which, together with deficit of private investments, is a reason for critically low planned expenditures for implementation of this process. For prevention of increase of Russia’s underrun the process of the digital economy’s formation from developed countries due to deficit of financing, the authors offer a model of overcoming the budget limitations of digital economy’s formation. This model showed perspective directions of attraction of private investments into the process of the digital economy’s formation in Russia, including involvement of small and large entrepreneurship into this process, as well as foreign investors.