Reduction of Climate Risk as a Key to Business Performance – Framework for Sustainable Corporate Treasury Management (CTM)

The current transformation of the country’s economic system determines instability in the terms and mechanisms of the agricultural sector financing. The use of new financial instruments enhances the capacity of the agricultural sector of the national economy to generate investment resources. Financial instruments such as bank lending, leasing services and investment in agricultural projects are now widely known and used. Improving the investment attractiveness of the country’s agricultural sector and its development potential can be achieved through the introduction of modern financial instruments such as forward and futures contracts. The use of these financial instruments is a promising direction of formation of investment resources. Forwards will be especially useful for those agricultural producers who lost their crops last year and feel a working capital deficit.
 The article considers the essence and classification of financial instruments; special attention is paid to the derivative financial instruments. The international experience of their use, as well as their use in the agricultural sector of the economy of Ukraine, has been studied. The main problems faced by market participants of the financial instruments market were revealed. The use of modern market instruments for price risks hedging and trends of the derivatives’ development as hedging instruments on the case of the agro-industrial company is analysed. The main problems of market participants in the agricultural sector of Ukraine have been identified and recommendations on the conditions for the use of financial instruments have been given. Recommendations on the development of derivatives in the grain market of Ukraine and the necessary actions by the interested parties, in particular government agencies, grain market participants, agricultural producers, investors have been developed. The necessity of using modern financial instruments to form the investment resources in the agricultural sector of the economy by combining internal (agrarian receipts, leasing services, forwards, bank financing) and external (bonds, letters of credit, guarantees, factoring) financial instruments for the agricultural sector producers is demonstrated.

In the context of the current economic and political situation in Ukraine, the use of financial instruments as a means of attracting investments becomes relevant. Effective use of such tools allows the country not only to attract investments but also to reduce risks and ensure the stability of the financial system. The study of this topic helps understand the most effective strategies for attracting investments and improving existing financial mechanisms to achieve economic growth. The purpose of the present academic paper is to analyze financial instruments to attract investment. The scientific work examines the key aspects of their functioning and impact on investment processes, covering various types and their role in the development of capital markets and investment attraction. During the research, an analysis of literary sources, a comparative analysis, comparative analyses based on existing literature and previous studies, methods of systematization and generalization were performed. The results of the research confirm that financial instruments play an important role in attracting investments in the modern conditions of global financial markets. They allow effective management of financial resources and risks, providing various opportunities for raising capital and spreading risks. According to the results of the research, financial instruments play a key role in attracting investment capital, which is important for the development of the economy. Ukraine can use these tools to attract foreign investors; however, improvements are required, such as increased procurement transparency and improved public-private partnerships. The research also points to the importance of improving public-private partnerships and ensuring the transparency and efficiency of public procurement to further increase Ukraine's investment attractiveness. The use of various financial instruments is a key factor in successfully attracting investment capital and stimulating economic growth.

In the context of the current economic and political situation in Ukraine, the use of financial instruments as a means of attracting investments becomes relevant. Effective use of such tools allows the country not only to attract investments but also to reduce risks and ensure the stability of the financial system. The study of this topic helps understand the most effective strategies for attracting investments and improving existing financial mechanisms to achieve economic growth. The purpose of the present academic paper is to analyze financial instruments to attract investment. The scientific work examines the key aspects of their functioning and impact on investment processes, covering various types and their role in the development of capital markets and investment attraction. During the research, an analysis of literary sources, a comparative analysis, an analysis of statistical data, methods of systematization and generalization were performed. The results of the research confirm that financial instruments play an important role in attracting investments in the modern conditions of global financial markets. They allow effective management of financial resources and risks, providing various opportunities for raising capital and spreading risks. According to the results of the research, financial instruments play a key role in attracting investment capital, which is important for the development of the economy. Ukraine can use these tools to attract foreign investors; however, improvements are required, such as increased procurement transparency and improved public-private partnerships. The research also points to the importance of improving public-private partnerships and ensuring the transparency and efficiency of public procurement to further increase Ukraine's investment attractiveness. The use of various financial instruments is a key factor in successfully attracting investment capital and stimulating economic growth.

The article is devoted to substantiating effecient use of existing and new financial instruments for restoration and development of territorial communities (TCs) in Ukraine. Scientific and theoretical approaches to structuring financial instruments for development of TC are investigated. It is noted that in the context of imbalances in socio-economic development of TCs, significant destruction of the local economy and critical infrastructure, forced migration of residents or acceptance of internally displaced persons by the community, it is necessary to substantiate possibilities of attracting new and effective use of existing financial instruments for restoration and development of TCs. Existing and new financial instruments for restoration and development of territorial communities were structured. Financial instruments of budgetary support, taxation instruments, loans, investments, financing of mine clearance, and digital financial instruments are highlighted. The analysis of efficiency indicators of using these instruments is carried out. It is indicated that, given current state of socio-economic development of the TG, the most effective are investment instruments, demining financing instruments and digital financial instruments. To attract domestic and foreign investment, it is necessary to develop investment maps and investment projects in interactive format at the ATC level to help potential investors learn about available investment opportunities and community development prospects. Increasing the number of investors requires development of international municipal partnerships and private-municipal partnerships. Widespread use of digital financial instruments requires, first and foremost, development of the financial, information and digital infrastructure of the TCs. Implementation of financial instruments discussed in this article will improve financial capacity of TCs, involve not only investors and creditors but also community residents in solving socio-economic problems of their recovery and further development.

The fourth industrial revolution predetermined the digitalization of all spheres of life from the emergence of the Internet of things and 3-D printing to the creation of a single digital economic space. It is no coincidence that one of the priority areas of the Strategy for the Development of the National Payment System for 2021—2023 is the active introduction of innovative payment technologies and the expansion of the scope of electronic means of payment. Another confirmation of the dynamic development in this direction is the introduction of an additional digital ruble into the Russian economy, along with cash and non-cash forms of the national currency, legalized from August 1, 2023. Pilot projects on the use in the real sector of the economy of a qualitatively new financial instrument — a digital financial asset-turned out to be quite effective. The use of new digital financial instruments inevitably entails the need to form a new vector for the development of law, new legal relations formed under the influence of digital technologies. However, the legal nature of a digital financial asset is still not fully defined, the legal regulation is very contradictory, which significantly slows down the practice of its use and creates additional risks. This article discusses aspects of the positive impact of the use of digital financial assets in the real sector of the economy, prospects, as well as the risks of large-scale use of this financial instrument.

The aim of the research was to study financial instruments ensuring the food market sustainability in the face of economic and environmental challenges. The research employed the following methods: SWOT analysis, econometric, correlation, and regression analysis. The analysis of investment in agricultural technologies showed a significant increase in interest in innovations, in particular in response to global challenges, such as climate change. In particular, the use of IoT in agriculture has contributed to an increase in the yield of major crops such as wheat, corn, and soybeans. The study found that the use of financial instruments, such as grants, technical assistance, loan guarantees and equity investments, effectively reduces financial risks. A promising direction for further research is to study in more detail the effectiveness of the use of mixed financial instruments for the sustainable development of the agricultural sector.

This topic is relevant for the current study of the financial situation in general, and the derivatives market in particular. In this context, it is also important to outline the degree of state support for the development of the derivatives market, having previously identified the priority areas of state activity in this area. The current development of global financial markets indicates their growing efficiency and increasing role of international capital markets in attracting credit resources. The purpose of the article is to study, evaluate and analyze financial instruments, their impact on the national economy, as well as problems in the introduction of new financial instruments. The article summarizes and analyzes foreign experience in the use of financial instruments on the example of EU countries. The most effective methods of state regulation of financial instruments that can be applied in Ukraine are demonstrated. The dynamics of changes in financial instruments used in the Ukrainian financial market is investigated. The importance of using financial instruments in the Ukrainian economy is substantiated. The article identifies the most important problems and suggests methods and ways of more efficient functioning of the studied market. It is proved that to increase the country’s competitiveness in the world financial market it is necessary to develop new financial instruments. The data on the use of financial instruments along with their grouping for 2013-2021 are systematized. It is necessary to further strengthen the tendencies of providing various types of financial support for regional development. In the future, it should also be taken into account that an indispensable condition for sustainable and effective regional development is institutional support, first of all, it is about regional development funds, which provides for an increase in the budgetary self-sufficiency of the regions. Thus, the coordinated activity of the financial system in a harmonious and professional combination of its functions is possible with the assistance of the state apparatus and a developed financial market

The principles of the implementation of state policy and the sphere of water supply are revealed. Problematic issues were identified and ways to improve this field of activity were proposed. It was determined that the state policy in the field of water drainage is a set of measures carried out by the state in order to regulate the collection, treatment and disposal of wastewater. This policy includes legal, economic, technological and environmental regulation aimed at ensuring the efficient and safe functioning of water drainage and sewage treatment systems. Important components of such a policy are the development of norms and standards for the quality of wastewater, investments in the reconstruction and modernization of existing treatment facilities, as well as the introduction of the latest treatment technologies. The state also monitors compliance with legislation in this area, establishes environmental standards, and monitors the state of water resources. It was noted that the effectiveness of state policy in the field of water drainage depends on: 1. development and updating of strategic plans. 2. Cooperation with international donors and financial institutions. Attracting funds from international donors, such as the EU, the World Bank, the EBRD, is critically important. 3. Involvement of the private sector through PPP (public-private partnership). 4. Use of financial instruments. The use of innovative financial instruments, such as green bonds and investment funds aimed at environmental projects, can stimulate investment in water drainage. 5. Adaptation of legislation to create a favorable investment climate, including tax incentives, guarantees of investors’ rights, and clear licensing and control procedures. 6. Public support and transparency. Ensuring transparency of projects and actively informing the public to ensure public support for projects. 7. Stimulating the development of green infrastructure that can help in natural wastewater treatment includes a number of strategic steps and initiatives.

This paper sets the task of researching ways to improve the management of financial resources of a business entity using the example of ArcelorMittal Kryvyi Rih. The paper identifies the main areas of optimization of financial decisions, strategic planning and risk management in conditions of market instability and resource scarcity. In the process of research, methods of scientific abstraction, structural-decompositional analysis and synthesis, logical generalization, cause-and-effect relationship, logical-prognostic, meaningful-comparative were used to meaningfully reveal the essence of the problem. The novelty of the paper consists in a systematic approach to the management of financial resources in the conditions of the economic crisis and the risks of the world steel market. In particular, the work examines the use of new financial instruments for diversification of financing sources, the use of hedging to reduce currency risks, and the implementation of environmentally oriented projects that increase the sustainability of the enterprise. The practical significance of the paper consists in the development of specific recommendations for optimizing the management of financial resources, which can be useful for managers of companies in the metallurgy industry. The proposed solutions help strengthen financial stability, improve liquidity and ensure efficient use of capital in conditions of limited access to resources and unstable prices for raw materials. The paper presents the practical results of optimizing the management of financial resources using the example of ArcelorMittal Kryvyi Rih. Key aspects of financial planning, liquidity and risk management are considered, as well as examples of attracting profitable financing for environmental projects are analyzed. The results of the paper show that strategic financial management enables the company to remain competitive even in crisis conditions. The problem of improving the management of financial resources is one of the key ones in the modern conditions of an unstable economy. It is related to scientific tasks, such as the development of new models of financial planning and risk analysis, as well as to practical tasks, such as ensuring financial stability, increasing profitability and reducing financial costs. Analyzing modern publications on the management of financial resources, one can note the growing interest in risk management issues, the use of financial instruments to reduce risks and optimize the capital structure. In particular, scientific works devoted to the metallurgical sphere emphasize the importance of diversification of funding sources and liquidity management in conditions of unstable markets.

An assessment of stock market application to speculative transactions for socio-economic growth

The subject of the study is financial instruments of international political influence, namely their political effectiveness and side effects for states that have decided to use them. Today, there is a growing body of empirical evidence indicating that the United States is experiencing negative consequences from the use of financial instruments in order to realize its foreign policy interests. There are scientific papers devoted to such topics and issues as positive financial instruments, reverse results and negative reactions of financial coercion. The new reality opens up additional opportunities for a number of countries, including Russia, to assert multipolarity and strengthen their role in the emerging world order. All this actualizes the political science analysis of the consequences of using financial instruments, as well as attempts to systematize the accumulated knowledge in this area. The methodological basis of the research focuses on the concept of global monetary power, competition and the concept of instrumentalization of economic interdependence, which are developing in modern political science. The methods of comparison, content analysis and classification were used, which made it possible to substantiate the concept of "political effectiveness of financial instruments" and systematize certain political and economic consequences of the use of such tools, in particular the United States. The authors conclude that the use of financial instruments by the United States has a negative impact not only on the global financial system that they support, but also on Washington's international political reputation. The United States, using financial instruments, often in a disorderly manner, encounters resistance from those against whom it turns financial pressure. Against the background of all these events, confidence in the existing global financial system is being undermined. There is an increase in the attention of individual countries to gold, the refusal of a number of states from the dollar in international settlements, as well as the deployment of the process of searching for alternatives to the existing hubs of the global financial system, which the United States is trying to use for its international political purposes. In these circumstances, Russia's task is to take advantage of the new opportunities created by the financial and political miscalculations of the United States.

Introduction. In the context of the latest transformational challenges, the problem of ensuring inclusive development of territorial communities is becoming increasingly relevant, and it is advisable to develop innovative approaches to the use of financial instruments in managing socio-economic development at the local level. The purpose of the article is to develop the conceptual framework for the use of financial instruments by public authorities as a means of management to ensure the inclusive development of territorial communities. Methods. The methodology of the study is based on the use of dialectical and process approaches, methods of induction and deduction, analysis and synthesis - when considering the content and specification of the essence of the concept of “inclusive development of territorial communities” and determining the imperative of this type of socio-economic development; structural and functional approach and methods of theoretical generalization, scientific abstraction, systematization, argumentation - to develop a conceptual model of the use of financial instruments as a dominant factor in ensuring inclusive development of territorial communities. Results. Based on the generalization of scientific views and the use of the process approach, the author's own definition of the concept of “inclusive development of territorial communities” is formed. The study of the key aspects of the concepts of inclusive development, barrier-free, integrated and sustainable development, and current global challenges and threats made it possible to outline the imperatives of inclusive development of territorial communities that should be taken into account by public authorities when choosing financial instruments. The use of the structural-functional approach made it possible to consider financial instruments for the inclusive development of territorial communities as a means of managing socio-economic phenomena and processes, which result in the implementation of the principles of financial policy aimed at the inclusive development of territorial communities. The article reveals the dualistic nature of the impact of financial instruments for inclusive development of territorial communities on the object of management from the standpoint of their provisioning, allocative and regulatory effects. Conclusions. Financial instruments are an important dominant of the inclusive development of territorial communities. It is through the dualistic nature of their impact on the object of management, taking into account the imperative of inclusive development, the priorities of the State regional policy and strategies for the development of territorial communities, that the goal of managing socio-economic development at the local level is achieved.

Financial instruments (FIs) have been an element of EU policies for almost 2 decades. They are in use also in CAP. Yet, they have not gained much popularity due to both their novelty in CAP and the complexity of their implementation. However, given the diminishing allocation of funds for CAP they are sure to become an important part of CAP support as they offer an important advantage to policy makers due to the leverage effect which enables the funds to be used more than once and thus to offer support to a larger group of beneficiaries. The paper is based on literature review and the analysis of EU documents related to FIs. Its aim is to assess the proposal of the EC relating to the use of FIs in the CAP 2020+ taking into account the lessons learnt during the implementation of FIs in rural development programmes (RDPs) in the previous and current programming periods. Results show that wider use of FIs in CAP 2020+ as compared to the current period is inevitable. Yet, there are serious problems that have to be tackled to make the FIs’ implementation a success. This included careful planning and educating potential beneficiaries.

Introduction. The effective transition to social and environmental oriented economy is based on numerous factors. In many countries, financial correction is taking place, the main mechanism of which is the transformation of the economy into a new format. Financial intermediation based on the principles of social and environmental financing can have a significant impact on overall progress. Purpose. The purpose of the article is to assess the current state of the Ukrainian financial market within the level of implementation of the studied tools for the possibility of improving the state of social and environmental responsibility. Methodology.During the study, the following methods were used: dialectical method and methods of analysis and synthesis – to study the main options for social and environmental development of the country based on the use of financial instruments that are actively and successfully used by developed countries; statistical method – to analyse of monthly volumes of issue of "green" bonds in the world; structural and logical analysis – to study projects implemented in Ukraine in conjunction with IFC. Results. The application of financial instruments, such as "green bonds", social impact bonds and "green banking", in international practice to increase the level of social and environmental responsibility has been studied. The prospects of application of the researched financial instruments in Ukraine in the context of financing the projects of sustainable development are estimated.

Introduction. The use of financial tools of anti-crisis management allowcompanies to attract the necessary resources, optimize costs and ensure their financial stability. That is why a detailed analysis and effective application of financial instruments is one of the key factors of business success in modern conditions. Problem Statement. Increasing the effectiveness of the use of financial instruments by Ukrainian enterprises to ensure their stability and development in conditions of high economic instability. The purpose is to develop recommendations on the effective use of financial instruments to minimize the consequences of crises and ensure sustainable business development, based on the analysis of the practical experience of Ukrainian enterprises. Methods. General scientific and special methods were used: analysis, synthesis, grouping, description, comparison, theoretical generalization and abstract-logical. Results. The paper analyzed the main financial instruments used in the process of anti-crisis management, the spheres of their effective use, and provided their comparative characteristics in various sectors of the economy of Ukraine. Conclusions. The effective use of financial instruments is critically important for the survival and development of Ukrainian enterprises in crisis conditions. However, existing barriers such as limited access to finance, high interest rates and unstable legislation make this process difficult. To overcome these problems, it is necessary to develop a set of measures aimed at stimulating the development of the financial market, increasing the financial literacy of entrepreneurs and strengthening state support. Digital technologies open up new opportunities for optimizing financial processes and increasing the effectiveness of anti-crisis management. The implementation of technologies such as blockchain and artificial intelligence can contribute to increasing the transparency and security of financial transactions, as well as allow for more informed decisions based on data.