THE STATE SUPPORT FOR DEVELOPMENT OF THE AGRICULTURAL SECTOR OF ECONOMY OF UKRAINE

Abstract

The article reviews problems in the field of state support for the development of the agricultural sector of Ukrainian economy. The main forms of financial support of the domestic agricultural sector, in particular, direct state support (budget allocations, budget positions) are considered. Legislative initiatives of budget financing of agricultural sector development are highlighted. An assessment of financial support for the development of the agricultural sector of Ukraine’s economy for 2015-2019 is done. It is argued that in recent years, state support for the functioning and development of the agricultural sector of Ukraine’s economy has been aimed at increasing budget support, funding program to support farms, farms, hop development, creation of young orchards, vineyards and berries and review them, as numerous enterprises who receive loans, and assistance in obtaining credit financing. The study noted that the available financial support for the development of the domestic agricultural sector still remains insufficient and does not significantly meet the real needs, as in most cases financial resources are not available to businesses. The main measures to improve the current mechanism of state support for the agricultural sector of economy, which are to restructure existing approaches to financing the development of this sector by improving state support for its industries. The main ones are: reduction of corruption and bureaucracy in the process of budget allocation, transition to financial support for projects of innovative development of the agricultural sector on a competitive basis, promoting the implementation of mechanisms of public control over the use of funds. It is argued that the comprehensive implementation of the proposed measures will formalize the tools for modernization of state support for the development of the agricultural sector, which in the long run is transformed into improving the efficiency and competitiveness of the world food market. Keywords: agricultural sector, budget expenditures, state support for development of the agricultural sector, financial support, budget financing.