FINANCIAL CONTROL IN THE SYSTEM OF BUDGETARY SECURITY OF THE STATE AND REGIONS UNDER DECENTRALIZATION CONDITIONS IN UKRAINE

The relevance of the topic of the study is determined by the processes of reforming financial control system under conditions of the budgetary decentralization and euro integration processes in Ukraine. The theoretical and methodological principles of researching budgetary security and decentralization were determined. Based on the data within a twenty-five-year period the dynamics of profits, costs and surplus of the Consolidated budget of Ukraine were analyzed. The influence of the economic development cyclicity on budgetary security in the part of occurrence of budgetary deficit was identified. The quantitative assessment of budget decentralization in Ukraine was made based on the share of revenue of local budget in the revenues of Consolidated budget as well as transfers in the revenue and expenditure of the State budget of Ukraine. The scientific outcome of the study is the refinement of the definition of budget security for the state and the regions and substantiation of the conceptual model of financial control under decentralization conditions. Unlike the existing definitions the proposed definition is grounded on the change of the ideology of the budget process participants under conditions of its democratization and decentralization as well as the risk-oriented and strategic approach. The proposed conceptual model of financial control under decentralization conditions is grounded on the unified network of the state and municipal control authorities, delegation of control functions according to the budget powers, transition from the inspection of inter-budgetary transfers to the audit of budget security under conditions of accepted socio-economic living standards of the local population, unification and standardization of the approaches to conducting audits of legality and effectiveness of the formation and using the local budgets.