FINANCING OF VOCATIONAL EDUCATION IN UKRAINE: TRANSFORMATION OF THE MODEL UNDER DECENTRALIZATION AND THE WAR ECONOMY
DOI:
https://doi.org/10.35774/Keywords:
vocational education; vocational education financing; decentralization; local budgets; labour market; dual education; financial autonomy of educational institutions.Abstract
Introduction. In the context of decentralization and wartime economic transformation, the vocational education system in Ukraine plays an increasingly important role in ensuring labour market resilience and supporting economic recovery. The redistribution of financial responsibilities between levels of government, the expansion of institutional autonomy of vocational education institutions, and the growing demand for qualified labour have significantly changed the architecture of vocational education financing. At the same time, demographic losses, internal migration, and regional economic disparities caused by the war have intensified the need to reassess the effectiveness of the current financing model.
The purpose of the article is to assess the current state of vocational education financing in Ukraine and to develop recommendations for improving its financial mechanisms under conditions of decentralization and wartime economic transformation.
Results. The study demonstrates that decentralization has significantly increased the role of local budgets, which currently account for more than 96% of vocational education financing. However, this shift has not been accompanied by an increase in the sector’s priority within overall education expenditures. The findings highlight the need to integrate labour market indicators into funding allocation mechanisms, introduce corrective factors reflecting wartime regional disparities, enhance transparency of financial flows, and develop institutional mechanisms for business participation in co-financing vocational education.
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