Abstract
<jats:p>The article reveals the essence of public finances in the system of resilience of social development. The current state of the country’s financial and economic situation is characterized by the limited state financial resources, which is caused by the action of martial law in the country, and significant dependence on external financial assistance. Of particular importance is the increase in the effectiveness of the financial and budgetary mechanism in the conditions of the transformation of socio-economic relations, and the growth of socio-economic restrictions. The purpose of the article is to determine the essence of public finances as a component of ensuring the resilience of social development, improve the system of public finance management, form an effective budget policy in the conditions of socio-economic transformations, determine the structure of budget expenditures at the level of functional classification, the impact of the budget deficit on the dynamics of public debt, increase the effectiveness of budget expenditures, and the efficiency of using budget funds. The novelty of the article is the disclosure of the essence of public finances as a component of ensuring the resilience of social development, which consists in the ability of public finances to influence the effectiveness and sustainability of the country’s socio-economic development, achieving the maximum result of high-quality provision of public services when using the appropriate amount of budget expenditures; the relationship between the public debt indicator in gross domestic product and the similar indicator of the budget deficit with a time lag for the period 2016—2025 is determined; the features of the structure of average indicators of budget expenditures at the level of functional classification for the periods 2010—2013, 2014—2017, 2018—2021, 2022—2025 are determined. Medium-term budget planning of the share of budget revenues, budget expenditures, and budget deficit was carried out, taking into account macroeconomic indicators for the period 2027—2031 in the context of socio-economic transformations. The work uses a set of scientific methods and approaches, which made it possible to implement the conceptual unity of the study, in particular, the methods of systemic, functional analysis, generalization, comparison, scientific abstraction, and synthesis. It is shown that public finances are one of the main components in the formation of social development resilience. The implementation of a budget policy to manage the budget deficit and public debt effectively is important. The implementation of tax policy aimed at adapting to changes in the economic environment, effective formation of the revenue part of the budget, effective management of public expenditures, and focused on achieving maximum socio-economic results is important. The priority areas are increasing the efficiency of the use of state financial resources, ensuring macroeconomic stability, strengthening financial institutions, and developing mechanisms for strategic financial and economic planning, which will contribute to the formation of current and medium-term resilience of social development.</jats:p>