Decentralization as a major factor of rural development

UDC 35.071.6

O. Bodnar, postgraduate student
Supervisor: V.V. Lagodienko, Doctor of Economics, professor
Mykolayiv National Agrarian University

Decentralization is a complex phenomenon that involves political, administrative, economic and related components to create the possibility of more efficient management development at national, regional and local levels. The success of its implementation depends on the development of the state and its smallest units, so called rural communities.
Creating a self-sufficient community is one of the priorities of rural development. We consider it is appropriate to review the current situation of decentralization in the country and identify the major problems and prospects in this direction.
As a result of the reform and modernization of public administration in the EU the regional governments have been developed, in order to strengthen the position of local governments, which allowed addressing the issues of social and economic areas’ development more effectively.
The Government of Ukraine began to implement a large-scale reform in 2014. The result of this reform will be municipal associations and inter-municipal cooperation aimed at reducing the number of local governments and their consolidation.
During the first stage of reform a number of laws were passed, but the work in this direction is ongoing.
The primary step to implementing administrative and territorial reform is a voluntary association of communities.
The main problems and obstacles of decentralization today are public fear as for the unification; imperfect Constitution, contradictions in the legislation; lack of a clear division of responsibilities at different levels of governance; interregional disparities and the “unwillingness” of depressed regions to self-government.
The further research of this issue requires clarification and detailing of local government services to the territorial communities, their classification and ensuring mechanisms at all levels of local government.
Thus, decentralization offers a lot of prospects for the local governments’ ability to resolve local life problems independently, including increasing the role of rural residents, their influence on decision-making and as for the life conditions, social and economic development of rural areas and in society in general.

Decentralization as a major factor of rural development.

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Issue 1(88). 2016