Institutional providing for rural development

UDC 332.143:338.43.01

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

Institutional support for rural development is a combination of public and private institutions that ensure the availability of legal, organizational and economic conditions necessary for rural development, rural areas and rural communities.
Today in the world, despite the generally prevailing idea of the direction and nature of rural development institutions, there is no common understanding of purpose and the definition of these institutions.
As a result of studying we have identified the following main weaknesses of institutional support for rural development as incomplete legislative framework, lack of institutional capacity and inefficient programmer documents for rural development; neglect of infrastructure in rural areas; resource and functional limits of local governments and low institutional capacity of communities in rural areas; lack of effectively active institutions in formatting and developing integrated relations between business entities.
According to the identified problems, strategic priorities of the state policy for improving institutional support in agricultural development should be: the improvement of the institutional and legal support in agricultural development, coming closer to the requirements and standards of the EU countries; developing mechanisms for upgrading infrastructure to ensure agricultural development; creating a favorable environment for developing the community institutions in rural areas; creating a positive institutional and psychological basis for rural development at a basic level, increasing the attractiveness and promoting the living in rural areas; improving the business environment in formatting and developing integrated business structures, creating the interregional agro-industrial clusters and realization the socio-economic projects in rural areas.
It should be noted that only the success of the rural development institutions on the territory is not enough for the sustainable development of this territory. This requires that all participants in rural development (local authorities, commercial companies, organizations and institutions) should act more cooperatively and effectively. The most effective institutions are those institutions that operate within the well-planned framework and coordinated system of rural development.

Institutional providing for rural development.

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Issue 4 (92), 2016

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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12. Praktychnyj posibnyk z pytanj formuvannja spromozhnykh terytorialjnykh ghromad [Elektronnyj resurs]. – Rezhym dostupu : posibnuk_z_ritan_formyvannya_ter_gromad.pdf.
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17. Korotkyj oghljad reformy miscevogho samovrjaduvannja ta terytorialjnoji orghanizaciji vlady v Ukrajini [Elektronnyj resurs]. – Rezhym dostupu :

Issue 1(88). 2016