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The Features of Federal Support Allocation Among Russian Regions for National Projects Execution

Author

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  • Mikhail V. Milchakov

    (Kutafin Moscow State Law University (MSAL), Moscow 125993, Russia)

Abstract

2019 marked the start of an active phase of national projects implementation in Russia. The author uses official quantitative data from open sources to examine the features of federal support allocation among Russian regions for national project execution. The methodology and legal framework of federal transfer allocation for national project accomplishment are analyzed. The research shows that in many aspects the regime of grant financing in national projects has a number of advantages and preferences in comparison with the “standard” schemes and approaches. The author proposes formalized approaches to assess the potential impact of federal financial support for national projects on the regional budgets. The article contains recommendations for implementation of wide-purpose grant for national projects funding based on their consolidation and suggestions for optimization of administrative procedures. The author concludes that the allocation of intergovernmental transfers for national projects among regions in general reflects the fiscal capacities of regions and meets the differentiation in budget costs among them. At the same time, some regions increased the revenue base on a larger scale due to the implementation of national projects. On the other hand, it is possible to determine a group of regions with the deficit of current federal aid and preconditions for additional support.

Suggested Citation

  • Mikhail V. Milchakov, 2019. "The Features of Federal Support Allocation Among Russian Regions for National Projects Execution," Finansovyj žhurnal — Financial Journal, Financial Research Institute, Moscow 125375, Russia, issue 3, pages 22-37, June.
    • Handle: RePEc:fru:finjrn:190302:p:22-37
    DOI: 10.31107/2075-1990-2019-3-22-37
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    References listed on IDEAS

    as
    1. Alexander N. Deryugin & Kseniya A. Proka, 2017. "Scale Effect Consideration in the Methodologies of Equalization Grants Distribution," Finansovyj žhurnal — Financial Journal, Financial Research Institute, Moscow 125375, Russia, issue 4, pages 98-112, August.
    2. Vladislav V. Bukharsky & Alexey M. Lavrov, 2017. "Impact Evaluation of the Equalizing and Stimulating Effects of Intergovernmental Transfers to the Subjects of the Russian Federation," Finansovyj žhurnal — Financial Journal, Financial Research Institute, Moscow 125375, Russia, issue 1, pages 9-21, February.
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    Cited by:

    1. Mikhail V. Milchakov, 2020. "Execution of National Projects in Regions Under the Conditions of Countering the Coronavirus Pandemic," Finansovyj žhurnal — Financial Journal, Financial Research Institute, Moscow 125375, Russia, issue 3, pages 28-47, June.

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    More about this item

    Keywords

    intergovernmental fiscal relations; intergovernmental transfers; national projects; general grants; block grants; federal budget; budgets of Russian regions;
    All these keywords.

    JEL classification:

    • H61 - Public Economics - - National Budget, Deficit, and Debt - - - Budget; Budget Systems
    • H72 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Budget and Expenditures
    • H77 - Public Economics - - State and Local Government; Intergovernmental Relations - - - Intergovernmental Relations; Federalism
    • R58 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Regional Development Planning and Policy

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