Programming of the national economy

The essence and tasks of programming, types of targeted complex programs

The essence of programming is the analysis of the state of the national economy, the identification of problems that cannot be solved by market mechanisms, the development and implementation of individual economic programs. The main tasks of programming are maintaining economic balance, influencing the qualitative transformation of the economy, stimulating its development. The goal of state programming is to achieve an economic development option acceptable to the state.

National economy development programming has the following specific features: state intervention in the economy does not eliminate spontaneity in market transformations, but only corrects this process; programming is an element of the modern market organization of the economy, since the state does not manage market agents, but only directs their activities; the basis of programming is structural regulation; programming as a form of influence on the economy is systemic and complex.

Targeted comprehensive programs occupy a special place in the system of state programs. According to the Law of Ukraine “On State Target Programs”1, a state target program is a complex of interrelated tasks and measures aimed at solving the most important problems of the development of the state, individual sectors of the economy or administrative-territorial units, carried out with the use of funds from the State Budget of Ukraine and agreed on terms of execution, composition of performers, resource provision.

The purpose of the development of state target programs (STP) is to promote the implementation of state policy in the priority directions of the development of the state, certain sectors of the economy and administrative-territorial units; ensuring the concentration of financial, material and technical, other resources, production and scientific and technical potential, as well as coordination of activities of central and local bodies of executive power, enterprises, institutions and organizations to solve the most important problems.

State target programs are divided into:

1) on national programs of economic, scientific and technical, social, national and cultural development, environmental protection (hereinafter – national programs) – these are programs that cover the entire territory of the state or a significant number of its regions, have a long-term implementation period and are implemented by central and local executive authorities;
2) other programs, the purpose of which is to solve certain problems of the development of the economy and society, as well as problems of the development of certain branches of the economy and administrative-territorial units that require state support.
According to the orientation, the state target programs are divided into: 1) economic, aimed at solving complex sectoral and inter-sectoral problems of production, increasing its efficiency and quality characteristics, ensuring resource conservation, creating new factories, developing industrial cooperation. Such programs included in the Program of Social and Economic Development of Ukraine2 include: National Energy Program; Comprehensive state energy saving program in Ukraine; State target economic program of energy efficiency for 2010-2015; State program of industrial development; State program of mechanical engineering, etc.;

2) scientific and technical, which are developed to solve the most important scientific and technical problems, create fundamentally new technologies, means of production, materials, and other science-intensive and competitive products. Among such programs are: State target program for the development of the system of information and analytical support for the implementation of the state innovation policy and monitoring of the state of innovation development of the economy; State targeted scientific and technical program “Nanotechnologies and nanomaterials” for 2010-2014; State program for forecasting scientific and technological development for 2008-2012;

3) social, which involve solving the problems of raising the level and quality of life, unemployment problems, strengthening the social protection of the population, improving working conditions, developing health care and education. The most important social programs are: State Employment Program; State program to provide youth with housing; State targeted scientific, technical and social program “Science in universities” for 2008-2012; Intersectoral comprehensive program “Health of the Nation” for 2002-2011, etc.;
4) national-cultural, aimed at solving problems of national-cultural development, preservation of national cultural heritage, satisfaction of intellectual and spiritual needs of a person;

5) environmental, the purpose of which is to implement state-wide environmental protection measures, prevent environmental disasters and eliminate their consequences. Among the most important, the following can be singled out: the State program “Drinking water of Ukraine” for 2006-2020; Solid household waste management program; The national program for the formation of the national ecological network of Ukraine for the years 2000-2015, etc.;

6) defense, which are being developed in order to strengthen the state’s defense capability. The most important among them are: State program for the development of armaments and military industrial equipment for the period until 2015; State program for the development of weapons and new equipment of the Armed Forces of Ukraine; State target defense program for disposal of conventional types of ammunition, unsuitable for further use and storage for 2008-2017; The state program of the transition of the Armed Forces of Ukraine to the staffing of servicemen undergoing military service under a contract;

7) law enforcement aimed at ensuring law enforcement activities, fighting crime and state security. Among such programs should be mentioned the State targeted law enforcement program “Organization and reconstruction of the border service of the border” for the period until 2015, the financing of which is provided by the State Budget of Ukraine.
State target programs can be aimed at solving other problems, including regional development, that are of state importance.

The developed measures, tasks and indicators of the state target programs: a) are included in the relevant sections of the State Program of Economic and Social Development of Ukraine for the relevant year and b) are taken into account during the preparation of the draft of the State Budget of Ukraine for the relevant year by determining the amount of expenditures for their implementation as part of budget programs and inclusion of relevant budget requests by the central executive authority on finance in the draft proposals of the State Budget of Ukraine.

The list of state target programs, which are planned to be implemented in the corresponding year and with the use of funds from the State Budget of Ukraine, is submitted for consideration by the Verkhovna Rada of Ukraine as part of the project of the State Program of Economic and Social Development of Ukraine and together with the draft law on the State Budget of Ukraine for the corresponding year.

The main stages of development and implementation of the state target program are:

1) initiation of the development of the state target program, development and public discussion of the program concept (Cabinet of Ministers of Ukraine, central executive authorities, National Bank of Ukraine, National Academy of Sciences of Ukraine, Verkhovna Rada of the Autonomous Republic of Crimea, regional Kyiv and Sevastopol city state administrations);
2) approving the concept of the program and making a decision on the development of the program draft, determining the state customer and the terms of its development (the CMU considers the concept of the CPD and, in the event of its approval, makes a decision on the development of the program draft, determines the state customers and the terms of its development);
3) development of the draft program – determination of activities and tasks proposed for inclusion in it, as well as volumes and sources of funding;
4) state examination of the program project;
5) agreement and approval of the program (national programs of economic, scientific and technical, social, national and cultural development, environmental protection are approved by law at the request of the CMU, and other CPD programs are approved by the CMU at the request of state customers);
6) competitive selection of executors of program activities and tasks. The CPD is carried out by the implementation of its activities and tasks by state authorities, as well as by the executors provided for in the program. Enterprises, institutions and organizations, regardless of the form of ownership, determined by the state customer to perform activities and tasks of the program on a competitive basis can be executors of the CPD);
7) organization of implementation of activities and tasks of the program, control of their implementation;
8) preparation and assessment of annual reports on the results of program implementation, and, if necessary, interim reports;
9) preparation and publication in official printed publications of the final report on the results of the program implementation.
The project of the state target program must contain: 1) the passport of the program – a summary of the main data (name, decision on development, information about the state customer and responsible executors of the program, implementation period, volumes and sources of funding); 2) definition of the purpose of the program; 3) justification of the ways and means of solving the problem, as well as the need for financing from the State Budget of Ukraine; 4) a list of measures and tasks with the definition of executors, deadlines (as a whole and in stages), volumes and sources of funding (with breakdown by year); 5) calculation of the expected results (economic, social, environmental, etc.) of the implementation of the program and its effectiveness; 6) calculation of volumes and determination of program funding sources, including from the State Budget of Ukraine (with breakdown by year). The project of the state target program is subject to mandatory state examination. CPDs are developed and implemented at the expense of the State Budget of Ukraine, as well as other sources provided for by the legislation of Ukraine. In order to develop and substantiate various variants of the CCP, it is advisable to use methods of economic analysis, methods of structural analysis, balance sheet methods, methods of substantiating the level of production development and main indicators by influencing factors.