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Formation of the State Regional Policy: The Experience of the G7 Countries
Podluzhna N. O., Dolha V. S.

Podluzhna, Nataliia O., and Dolha, Viktoriia S. (2021) “Formation of the State Regional Policy: The Experience of the G7 Countries.” Business Inform 11:49–58.
https://doi.org/10.32983/2222-4459-2021-11-49-58

Section: Foreign Experience

UDC 332.1:330.34:327] (477)

Abstract:
The possibilities of adaptation of the experience of the G7 countries in the conditions of Ukraine regarding the regulatory and legal support for the formation and implementation of the State regional policy are determined. Methods of analysis and synthesis of information were used, which allowed to establish advantages and «weaknesses» in the legislation of both Ukraine and the G7 countries to ensure the development of the regional economy, also a comparison method based on which the possibility of adaptation of foreign experience in the formation and implementation of the State regional policy was determined. The main directions of implementation of the State regional policy were established through a detailed study of the existing regulatory and legal documents of Ukraine. Advantages and «weaknesses» in the legislation of Ukraine on regulation of regional development are identified. It is defined that the «weaknesses» of Ukrainian legislation in the direction of regulation of the State regional policy are the following: development and implementation of generalized programs for the development of regions without taking into account the level of development of territorial units; weak stimulation of innovations; lack of transparency of the activities of the State administration bodies and control over documentation as to local budgets; lack of provisions to increase the level of development of depressed regions. The possibility of using the experience of the G7 countries to develop recommendations for improving the State regional policy are substantiated. It is determined that the United Kingdom, France and Italy do not have special legislation on regional policy, but it is effective in the United States, Canada, Japan and Germany. The experience of using instruments for the implementation of the State regional policy by the G7 countries in the absence of special legislation was studied. The normative and legal documents of the State regional policy of the G7 countries, which have special legislation on the development of regions, were monitored. A comparative analysis of Ukrainian and foreign experience on implementation of regional development policy was carried out. Recommendations on accelerating the processes of stimulating the development of regions by activating regional policy towards supporting depressed regions are proposed as follows: support for small and medium-sized businesses; introduction of smart specialization with simultaneous development of diversified forms of knowledge economy; introduction of instruments of innovative and digital economy in all spheres of activity of economic entities; inclusion of priorities of small towns and villages into the regional development plans.

Keywords: regional policy, development of regions, foreign experience, legislation, smart specialization.

Fig.: 1. Tabl.: 4. Bibl.: 32.

Podluzhna Nataliia O. – Doctor of Sciences (Economics), Professor, Head of the Department, Department of Economics, Accounting and Taxation, Donetsk National Technical University (2 Shybankova Square, Pokrovsk, Donetsk region, 85300, Ukraine)
Email: [email protected]
Dolha Viktoriia S. – Masters Student, Donetsk National Technical University (2 Shybankova Square, Pokrovsk, Donetsk region, 85300, Ukraine)
Email: [email protected]

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