Factors increasing the financial capacity and development of territorial communities in the context of modern challenges

Abstract

There are various challenges in today's world, such as economic crises, global pandemics, and climate change, which have a major impact on the financial resilience and development of local communities. Today, the decentralization process has been completed, with territorial communities gaining more powers and responsibilities. Understanding the factors that contribute to the financial resilience and development of these communities is crucial to ensure their efficiency and viability, as well as opportunities for improved public governance, cost optimization, and more efficient use of resources. The article aims to examine the factors increasing the financial capacity and development of territorial communities in the context of modern challenges. Results. The article identifies internal and external factors for increasing the financial capacity of territorial communities. The advantages of the competitiveness of territorial communities are studied, and the main features for strengthening their financial stability are identified. The possibilities of local communities are considered in determining the attractiveness for investment in their territory, accounting for available resources and ways of their use, the use of labor, as well as the benefits that may arise during the relocation of enterprises due to active armed conflicts in a large territory of the country. Conclusion. Investment resources of territorial communities and the possibilities of their use are characterized. The investment attractiveness of territories is determined. The objects of investment activity may include any property, fixed assets, current assets in all sectors of the national economy, securities and targeted cash deposits, scientific and technical products, property rights, and resources. The instruments of investment attraction, their legal basis, and their effectiveness for the development of territorial communities are substantiated. Keywords: territorial communities, capacity of territorial communities, competitiveness of territorial communities, strategy, socio-economic development, decentralization.