PUBLIC FINANCIAL REGULATION AS AN ENSURING INSTRUMENT OF THE ECONOMIC DEVELOPMENT

The research subject contains the theoretical basis of the public financial regulation system formation as an ensuring instrument of the economic development. The article purpose is to determine the economic essence of the state financial regulation, and justify its importance to support the economic development of society. The research methodology. In the investigation author has used the set of scientific methods, including dialectical, structural, systematic, comparable method. Results. The significance of the state public financial regulation considering the systematization of scientific views of the different schools of economic thought and taking into account the development of the financial relations is revealed. Its role and importance in providing the incentives for the sustainable economic growth is proved. Scope of results. Financial policy and instruments of its implementation. Conclusion. Public financial regulation should be considered as a focused influence of the appropriate state institutions on the economic and social processes in order to prevent disproportion of the economy, innovative development, high-tech production, as well as in purpose to ensure social stability by redistribution of financial resources between certain sectors and spheres of social development. Depending on the economic environment, the objectives of financial regulation are focused on provision of macroeconomic balance and establishment of appropriate conditions for economic growth. The measures of financial policy aiming to stimulate the economy should be directed primarily at volume optimization and quality improvement of the production factors, particularly human capital. The maintenance of a favourable environment for economic growth requires an integrated use of financial control tools, instruments, and mechanisms. Determination of long-term and medium-term components of economic growth is substantial in order to select the relevant financial regulation measures.