EFFECTIVENESS OF THE STATE TREASURY SERVICE OF UKRAINE AS A CONTROL ENTITY IN THE SPHERE OF PUBLIC PROCUREMENT
DOI:
https://doi.org/10.35774/Keywords:
State Treasury Service of Ukraine, public procurement, treasury control, budgetary commitments, budget funds, budget expenditures, spending units and recipients of budget funds.Abstract
Introduction. Amid scarce budget resources, transparent and effective control over public spending is increasingly important. Despite digitalization of procurement, this area remains vulnerable to financial abuse and procedural violations.
The purpose of the article is to examine the State Treasury Service of Ukraine (STSU) as a public procurement control body, assess the effectiveness of its powers, identify implementation problems and substantiate priorities for modernizing treasury control.
Results. The powers of the main public procurement control bodies are systematized, and the forms of control are delineated by the stages of their implementation. Analysis of STSU data for 2024–2025 shows that warnings on improper compliance with budget legislation increased by 35.2% (to 64,690) and their value by 29.9% (to UAH 39.8 billion), with over 95% of them issued at the stage of registering commitments. The STSU’s powers are substantiated as preventive, since they operate before and during budget transactions and aim to prevent the use of funds in violation of budget legislation. However, published STSU statistics lack a procurement-specific breakdown, so the effectiveness of control can be assessed only indirectly; specialized public procurement analytics are therefore needed. A system of key performance indicators is proposed: the share of procurement contracts returned without registration, the amount of funds protected from improper use in tender procedures and its share in total procurement commitments, the share of violations eliminated before payment, the repeat-violation rate, and the structure of violations by type.
Conclusions. Treasury control is preventive, but since STSU statistics lack procurement-specific breakdown, its effectiveness can be assessed only indirectly. Specialized procurement analytics, performance indicators and automated data exchange with Prozorro and other control bodies are proposed to overcome this limitation.
References
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