ANALYSIS OF FISCAL POLICY AND MACROECONOMIC SITUATION IN UKRAINE IN THE CONDITIONS OF CROWN CRISIS

Анотація

Introduction. The spread of coronavirus infection has caused significant economic and social problems in the global dimension. The world economy suffered significant losses during 2020 and, according to analysts, will shrink by about 4.9% compared to 2019. Coronavirus disease has caused the most damage to the tourism, hotel and restaurant, transport sectors of the economy in almost all countries of the world, the virus has a significant impact on business activity and welfare of citizens. Given that Ukraine is a subject of world economic relations, the corona crisis has a significant negative impact on the economy of our country, causing significant imbalances in public finances, the budget crisis, leading to rising unemployment, reduced welfare. However, the corona crisis is only an indicator that has shown the true institutional capacity of public administration in Ukraine.

The purpose of the article is to diagnose the fiscal policy of Ukraine, identify its strengths and weaknesses and develop effective mechanisms to overcome financial and economic imbalances caused by the “corona crisis”.

Results. The article analyzes the main macroeconomic trends in Ukraine, as well as, based on forecast indicators, assesses the prospects for economic and social development in Ukraine. It was found that the domestic economy is in a significant recession and despite the projected growth of macroeconomic indicators in 2021, the economy will still be in crisis.

Significant fiscal imbalances in Ukraine have been identified, it has been stated that compared to 2018–2019, the budget in Ukraine is unbalanced, and its deficit is threatening to the country's economy.

From the beginning of 2020, the country's debt burden is growing and by the end of the year, its value will reach indicators that are higher than the critical values provided by the Budget Code of Ukraine.

It was noted that in order to overcome the crisis, it is necessary to change the priorities in the direction of education and science development; assistance to small and medium business; to ensure transparency in the activities of state institutions; to reform the judiciary; start a real fight against corruption.