DIGITAL BUDGETING MECHANISMS IN THE SYSTEM OF PUBLIC FINANCIAL MANAGEMENT: GLOBAL EXPERIENCE AND NATIONAL CHALLENGES
DOI:
https://doi.org/10.62664/cpa.2025.01.09Keywords:
digital budgeting, public financial management, world experience, national challenges, transparency of the budget process, electronic platforms, public finances, digital transformation.Abstract
In the conditions of global economic challenges and the growing role of digital technologies, states are forced to rethink traditional approaches to budget management, adapting them to new conditions. The implementation of digital mechanisms in the system of public financial management is heterogeneous across countries due to different levels of development of digital infrastructure, legal frameworks, and personnel competencies. The discrepancy between the potential of digital technologies and their actual use in budgeting requires in-depth analysis and the development of adapted solutions for the successful integration of these mechanisms in different national contexts. The purpose of the study is to analyze modern digital budgeting mechanisms, based on world experience, and to identify the main challenges and opportunities for their integration into the system of public financial management in Ukraine. The object of the research is budgeting processes in the system of public financial management. The subject of the study is the digital mechanisms used to prepare, implement and monitor the implementation of the budget, and their impact on the effectiveness of budget processes. The study is based on a comparative analysis of world practices and modeling of adaptation strategies for Ukraine. The author has analyzed global digital budgeting practices, including the use of electronic platforms, blockchain technologies, and big data analytics. The main national challenges that prevent the implementation of digital mechanisms in Ukraine, such as infrastructural limitations, personnel issues, legislative barriers and financial limitations, have been identified. Recommendations for adapting world experience to Ukrainian realities for effective integration of digital solutions into the budget process have been developed. The conclusion of the study is that the implementation of digital mechanisms in budgeting has a significant potential for increasing the efficiency of public finance management, but requires taking into account specific national conditions.
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