Effective management of public funds allocated for the reali- zation of the state functions

Abstract

In this article the authoress discusses the Polish experience in the implementation of modern tool of public funds management – performance budget – which facilitates and improves the political decision-making process regarding reallocation of expenditure in the scope of broad category of public expenditure and methods of organizing the process. Special emphasis was placed on: – determination of the functions carried out by the state in favour of citizen`s – measuring the efficiency of performed tasks – the possibility of using this public finance management method to strategic management of the state.