Economic prerequisites of providing investments from the budget

Kavalerchik Maria Nikolaevna

The article discusses the concept of budgetary investments as an economic and legal category; explores the issues of targeted use of budgetary investments. The author proves the conclusion that by investing budgetary funds the state is focused on maximizing a different utility than commercial entities. The author suggests making use of experience of the European Union on formation and implementation of regional and investment policy. The author defines the budgetary investments as funds allocated from the budget with specific goals for increase in value of property owned by the state acts. According to the author, the budgetary efficiency is caused by additional profitable streams in the form of compensation from builders for the used infrastructure or payments for concession agreements that occurs when the newly constructed housing is provided with communications or transferred to concession.

Keywords:budget, budget investments, provision of investments from the budget, financing, government spending, government investment policy, the diversion of budget