Areas increase of PPPs` financial potential by sectors based on adjustment of financial policy

Abstract

The type of financial policy, based three–dimensional positioning as PPP`s financial potential by sectors, is selected. The directions adjusting financial policy to improve the public–private partnership`s financial potential are developed, the proceedings of which will contribute to achieving the set goals and objectives for the formation of public–private partnership`s financial potential. There are formed types of financial policy: stimulating, moderate, and aggressive supportive, that are based on three–dimensional model positioning Ukrainian regions in PPPs` sectors according to their financial capacity, which gives an idea of the regions in terms of the possibility and expediency of their use in the implementation of public–private partnerships. There were developed ways of increasing the public–private partnerships` financial potential in view of the reasonable targets for each type of financial policy. For stimulating type there are balancing options of growth limited financial resources with provision of sufficient financial security and efficient allocation and use of financial resources. For moderate type there is ensuring an acceptable level of financial stability and profitability using its own capital. For supporting type there is focus on the rapid growth of the financial capacity of the strong support of public funding to avoid worsening financial condition and the type of transition to aggressive financial policy. For aggressive type there is directing efforts at addressing the adverse factors affecting the search for potential sources of reserves and financial support, to improve the financial capacity of a PPP sectors and supporting the transition to the type of financial policy.