Аuthors: D. Tretiak, PhD (Econ.), Assosiate Prof., ORCID ID: 0000-0002-1610-6905,
N. Miedviedkova, PhD (Econ.), Assosiate Prof., ORCID ID: 0000-0001-6359-561X
Taras Shevchenko National University of Kyiv, Kyiv, Ukraine
The article analyzes the risk management of public finances in Ukraine, considers foreign experience during the crisis, and suggests ways for improvement. The tools for mitigating fiscal shocks in times of crisis are considered, and tools that are used in a world practice are identified. The
financial and economic crises have become an obvious indicator of what tools different states are ready to use, depending on the level of their economic development and the degree to which risk management is implemented in fiscal processes.
Risks of public finance are defined: macroeconomic risks; risks associated with public debt and government guarantees; risks related to the activities of public sector entities; risks associated with the financial sector; risks related to the social sphere; risks associated with the sphere of agriculture and food security of the state; risks associated with insufficient transparency of the budget; risks related to inadequate cost control, which
leads to fraud and corruption in the public sector; risks related to the imperfection of approaches to the analysis of the effectiveness and efficiency of the program budget; risks of fraud and tax evasion.
The countries are characterized by using the following budgetary instruments: application of fiscal rules, implementation of budget expenditures of a social nature, giving incentives of an innovative and investment kind . The risk-based method in the system of public finances in the face of global challenges has been improved, and measures to improve public finance management in Ukraine have been proposed.
Main recommendations were proposed: expansion of government business support programs, optimization of budget expenditures, approximation of the terms of placement of government bonds to the market value of resources in national currency, improvement of fiscal rules, and diversification of import taxation.
Keywords: risk management, fiscal risks, state budget, budget expenditures, budget transparency, fiscal rules.
1st Revision: 07/11/2022
References (in Latin): Translation / Transliteration/ Transcription
1. Blishchuk, K. M. (2018). New approaches to managing public finances. Public Administration Efficiency, (50). Retrieved from:
2. Bondarenko, L. A. (2013). Building a risk management system in a commercial bank. Finances of Ukraine, № 9, pp. 85–93.
3. Varnalii, Z., Onyshchenko, S., & Maslii, A. (2016). Threat prevention mechanisms of Ukraine’s economic security. Economic Annals-ХХI,
159 (5–6), 20–24. Retrieved from: https://doi.org/10.21003/ea.V159-04
4. Danylenko, A., Zymovets, V. (2015). Monitoring of factors that create risks to the stability of public finances of Ukraine: scientific and
analytical materials. Retrieved from: http://ief.org.ua/wp-content/uploads/2015/ Моніторинг-факторів-що-створюють-ризики-стійкості-
5. State Fiscal Service of Ukraine. Retrieved from: http://www.ukrstat.gov.ua/
6. Drozd, I. K., Pysmenna, M. S., & Pohribna, N. V. (2021). Implementation of the principle of responsibility in the system of monetary
control of public procurement. Scientific Bulletin of Polissya. 2 (14), 78–82. Retrieved from: https://doi.org/10.25140/2410-9576-2018-2-2(14)-78-8
7. Hasanov, S. S. (2017). Fiscal Risks and Fiscal Targeting in the Public Financial Management System in Conditions of Institutional
Uncertainty. Scientific works of Scientific Research Financial Institute, № 2, pp. 5–24.
8. Hrechanichenko, O. O. (2018). Risk-based management as a mechanism for public management of public finances in Ukraine. Public
administration: improvement and development, № 5. Retrieved from: http://www.dy.nayka.com.ua/?op=1&z=1238 (дата звернення: 21.10.2022).
9. Ivanytska, O. M., Koshchuk, T. M. (2019). Analysis of approaches to fiscal risk management in the context of world experience.
“Finance of Ukraine”, № 9.
10. Kozoriz, L. O. (2020). Іnternational experience in minimizing fiscal risks in the context of macroeconomic shocks. Investments:
practice and experience, № 24, pp. 72–81. DOI: 10.32702/2306-6814.2020.24.72
11. Lunina, I. (2012). Public finance risks and ways to minimize them. Finance of Ukraine, 2, 4–15.
12. Liutyi, I., Kravchenko, M. (2014). The global economic crisis: threats and risks in the functioning of the public finance system of
Ukraine. Economy and the state, 7, 24–27.
13. Ministry of Finance of Ukraine. (2021). Information on fiscal risks and their impact on state budget indicators in 2021. Retrieved from:
14. Bilousova, O. S., Harkavenko, V. I., Danylenko, A. I. (2013). Risks and threats to the financial security of the public finance sector
and ways to overcome them. K.: Academy of financial management, 308 p.
15. Rozhko, O. (2016). The formation of new public finance management system within the framework of modern theory of public finance.
Innovative Solutions in modern science, 9 (9), 107–116.
16. Rozhko, O., Tkachenko, N., & Kovalenko, Yu. (2021). Scientific and methodological approach to budget strategizing through the
application of the program-target method. Financial and Credit Activity Problems of Theory and Practice, 2 (33), 335–344. Retrieved from:
17. Riabushka, L. B., Kubakh, T. H., Pavlenko, I. M. (2021). Modern approaches to managing fiscal risks: methodology and practice.
Business Inform, № 5, pp. 339–348. Retrieved from: https://doi.org/10.32983/2222-4459-2021-5-339-348
18. Committee of Sponsoring Organizations of the Treadway Commission. (n.d). Retrieved from: https://www.coso.org/Pages/default.aspx
19. Everaert, G., Fouad, M., Martin, E., & Velloso, R. (2009). Disclosing fiscal risks in the post-crisis world. International Monetary Fund.
Retrieved from: https://doi.org/10.5089/9781455241125.004
20. Open Budget Survey. (2021). Open Budget Survey 2021: Ukraine. Retrieved from: https://internationalbudget.org/uk/open-budgetsurvey/
21. Information on fiscal risks (including contingent liabilities and quasi-fiscal operations) and their impact on government budget
indicators in 2023. Retrieved from: https://mof.gov.ua/uk/download/page/3993
22. Danylyshyn, B. (2022). Budget 2023: realism and risks. Retrieved from: https://espreso.tv/byudzhet-2023-realistichnist-ta-riziki
23. Bankers called the greatest risks for the financial sector of Ukraine. Retrieved from: https://www.rbc.ua/rus/news/bankiri-nazvalinaybilshi-
24. Bohdan, T. (2022). War and public finances: how much money is needed for restoration and where to get it. Retrieved from: