Features of the budget financing of investments

Note that state investments are made in the implementation of the state's basic functions, such as economic, social, law enforcement, safety, environmental, cultural and others. With capital investment any state has a significant impact on the restructuring of the economy, thereby providing improved national economy, as well as removing existing distortions in the development of individual industries and regions, keeping the economy. Who can count on investment from the budget? In the role of such sites may make the company to be in state ownership, as well as other legal entities (including providing legal services), participating in government programs. Moreover, there is a clear dependence on the level of public investment. So at the federal level, federal programs and facilities are located, respectively, in federal ownership, and regional - regional programs and facilities owned by certain specific areas. Investment financing from the state budget has a number of principles, yet as targeted use of budgetary resources to obtain the maximum economic and social effects while minimizing costs, providing budgetary contractors to the extent of implementation of the plan and taking into account the use of previous allocations. Target character using budgetary funds is that the funding of objects is carried out after approval of the budget for the year, which provides control over the expenditure of resources previously identified areas. For example, commercial banks who finance facilities have been constructed for federal purposes, can not enter the budget funds on deposit accounts, use them on interbank loans, the purchase of hard currency and use them in other directions. Maximum effect at minimum cost is manifested in the fact that budget funds should be granted only if the appropriate project provides the greatest impact among proposed. Fundamentally new in the investment policy of recent years is the transition from the budget allocation for capital development among sectors and regions of the electoral partial funding of specific objects and the formation of such facilities on a competitive basis, which contributes significantly to the implementation of the marked principle. A comprehensive economic evaluation of the project, which is used in the financing of federal money, the system runs on a variety of criteria and performance indicators that reflect the interests of each participant. So, for the state as such a criterion are the following macroeconomic indicators like growth in gross and net national product and national income. For the company this size to increase profits, and for the people - the size to reduce the cost of apartments, and various social services. In that case, if the implementation of the investment project does not provide a marked increase in macroeconomic indicators, the state has no direct economic interest in its implementation. The motives for the financing of such activities may serve political, defense, social, environmental and other benefits that are also provided. Budgetary resources are generally provided construction projects and contractors to the extent of the plan. Administrator of these funds is the customer. Construction and installation work shall be paid after the agreement with the customer all kinds of work performed by ip. Number 2, "The act of acceptance of work performed"; costs of equipment and materials - the invoice imposed to the customer by the contractor; services - after their performance on demand customer invoices. Note that the objects of government funding for federal purposes, may be used and returned. Irrevocable financing is usually carried out in order to develop a fundamentally new directions of industrial activity, for example, which can give a significant boost to the development of related industries. Return funding is focused on the commercial impact of ongoing investment projects and are often supplemented by a system of privileges such as tax, credit, a temporary nature.