Proceedings of the International scientific and practical conference ―The Hague Conference on Science and Public Policy‖ (May 8-10, 2026) / Publisher website: www.naukainfo.com. – The Hague, Netherlands, 2026. - 232 p.

47 According to the Minister of Finance of Ukraine S.M. Marchenko, public finances are finances not only of the general government sector, but of the public sector as a whole [1, p.19]. In foreign countries, public finances are mainly reduced to the management of revenues, expenditures and debt obligations of the state. At the same time, such components of public finances are defined as finances managed by the central government, regional state administration bodies and local governments. In modern conditions, public finances are the basis for sustainable economic development, the development of social infrastructure, the basis for income growth, improving the well-being of citizens, and providing the population with a sufficient number of social services and public goods. Given that public finances are a component of the country's financial system, the stability of the entire system depends on the effectiveness of their management and use. In addition, they have specific organizational principles and methods of functioning, which are due to the special role of the state in regulating, managing, ensuring proper conditions for the functioning and development of the state, sectors of the economy and relevant social institutions. The state, as a public institution having at its disposal significant amounts of financial resources, redistributes this wealth for the benefit of its citizens. Thus, public finances perform one of their main functions - distributive . In addition to it, there are also: regulatory and control . Thus, the distribution function is manifested in the distribution and redistribution of GDP to meet social needs. The regulatory function is manifested in the application of the total financial tools of state regulation of various aspects of financial and economic development, based on the legal aspects of monetary relations, in particular taxes. The control function is applied in the process of formation and use of monetary funds, the proportions of distribution and use of labor, financial, material, natural resources by determining the compliance of the size of the funds with the intended goals.