Major Approaches to Assessing the Fiscal Sustainability of the Constituent Entities of the Russian Federation

The presented study develops theoretical and methodological foundations for assessing the fiscal sustainability of the constituent entities of the Russian Federation in perspective.

Aim. The study aims to develop a systems approach to assessing the fiscal sustainability of the constituent entities of the Russian Federation in the medium and long term.

Tasks. The authors analyze the major approaches to assessing the fiscal sustainability of federal subjects and determine the significance of quantitative and qualitative assessment methods in the development of a methodology for assessing the fiscal sustainability of federal subjects in the medium and long term.

Methods. This study uses scientific methods of cognition, analysis and synthesis, comparison and analogy, systems and institutional approaches to assess the fiscal sustainability of federal subjects.

Results. The authors examine the major approaches to assessing the fiscal sustainability of federal subjects developed by Russian scientific schools and disciplines; approaches used by state and local authorities; approaches to assessing the fiscal sustainability of federal subjects used by international and national rating agencies; foreign experience. In general, this implies the development of a universal system of indicators for assessing the fiscal sustainability of federal subjects.

Conclusions. It is substantiated that under the current conditions of new challenges, particularly in the context of the coronavirus pandemic, it is necessary to assess the long-term balance and sustainability of the budgets of federal subjects using a systems approach based on quantitative and qualitative methods, making allowance for the medium- and long-term prospects to make efficient management decisions at different levels of the economic system.

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