BUDGET ASYMMETRY OF COMMUNITY DEVELOPMENT IN UKRAINE UNDER WAR CONDITIONS

Abstract

Introduction. Budget asymmetry in the development of territorial communities in Ukraine has intensified under martial law, as different territories operate under unequal security, demographic, and economic conditions. Military actions have altered the dynamics of local budget revenues, their structure, and the capacity of communities to maintain basic services.

Purpose. The purpose of the study is to analyze the budget asymmetry of territorial community development in Ukraine under wartime conditions and to identify the key factors influencing the financial capacity of communities.

Materials and methods. The study is based on statistical data from the Ministry of Finance of Ukraine on local budget revenues, as well as scientific works of domestic and foreign scholars and analytical materials on decentralization, local finance, and post-war recovery. The research employs methods of analysis, comparison, generalization, and a structural-functional approach.

Results. The dynamics of local budget revenues in Ukraine were examined, showing that overall revenue growth at the national level does not eliminate interregional financial disparities. The structure of local budget revenues was analyzed, demonstrating that personal income tax remains the main source, and its dominance increases the dependence of communities on demographic changes, population migration, and the relocation of taxpayers. It was established that rear regions demonstrate higher revenue growth rates, while frontline and affected territories experience a narrowing of their budget base. It is substantiated that intergovernmental transfers partially mitigate financial disparities but do not compensate for structural losses of local economies.

Prospects. Further research should focus on identifying mechanisms to reduce budget gaps between communities, improving financial equalization instruments, expanding local revenue bases, and strengthening the institutional capacity of communities in the recovery process.