Abstract
It is substantiated that as of today the transition to the concept of debt sustainability, which affects the sustainable development of entrepreneurship, is dominant over other areas. The purpose of the study is scientific substantiation of the ways of transformation of debt management in Ukraine, taking into account the experience of EU countries, strengthening of the medium-term aspect of public and state-guaranteed debt management for the purpose of enhancement of sustainable development of entrepreneurship. An analysis of the best practices of the member states of the European Union, in particular the new member states of the European Union, regarding the experience of debt management, which is relevant for Ukraine, was carried out. On the basis of statistical indicators, it is substantiated that these countries in the implementation of public debt management strategy have effectively made the transition to debt management based on the concept of debt sustainability. The use of mechanisms and tools of the concept of debt sustainability in debt management allowed countries such as Hungary, Poland, Bulgaria, Latvia to significantly improve key debt indicators and indicates the correctness and feasibility of using this approach in modern conditions. It is proven that the main area of improving public debt management in Ukraine is the formation of a systematic approach to risk management on the part of the authorized body. This approach should include continuous monitoring of the full range of debt operations, analysis of the reasons, which led to deviations from the planned indicators and the application of the necessary management decisions aimed at the unconditional achievement of debt policy objectives.
Highlights
The formation of effective management of public and state-guaranteed debt is one of the most important tasks in the area of public finance
The whole set of measures to manage public debt and state-guaranteed debt must comply with the principle of macroeconomic stability: for a long time to ensure the resilience of the economy to internal and external threats and, at the same time, maintain the ability to sustainable economic growth
It can be noted that during 2010–2016 in most member states of the European Union there was a gradual decrease in the level of the ratio of guaranteed debt to GDP
Summary
The formation of effective management of public and state-guaranteed debt is one of the most important tasks in the area of public finance. In Ukraine since 2008, in times of crisis, borrowings have been used mainly to solve current budget problems, and state guarantees have not become an effective tool for economic growth (Sirenko et al (2020)). This has led to a significant increase in the debt burden, at which the national economy is no longer able to work effectively. This state of the debt area requires new approaches to debt management, revision of the range of financial instruments, use of best practices of postSoviet countries, which became members of the EU, improvement of debt risk assessment and monitoring, deepening cooperation with international financial organizations to stabilize the debt area and get out of the predefault state
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