Evaluation Methods of Financial Security of Municipalities

Abstract

Subject / topic. Financial security of the state consists of many constituent elements and can be divided into federal, regional and local levels, each of which conditions financial security of the state in general.Purpose / objectives. The purpose of the article is to define the methods of evaluation of financial security of municipalities. In order to achieve this purpose, it is necessary to solve the following tasks:To define the general stages for financial security assessment of activities of municipalities;To offer the system of indicators for evaluation of financial security of municipalities;To define the borders of financial security of municipalities.Methods.The dialectical method of scientific cognition was applied in studying the role and influence of financial security on the development of the economy of the regional municipalities; methods of monitoring, measuring, analyzing and comparing of indicators that characterize the financial security of the municipalities of the Republic of Crimea have also been applied. Results.The financial security of the region is an essential part of the region's economic security, reflecting the condition and readiness of the financial system of the region to timely, reliable and independent financial provision of economic needs in terms that are sufficient for effective functioning, as well as its ability to withstand internal and external financial threats in changing conditions. The financial security of the region is influenced by intraregional, domestic and external international threats.Conclusion/ Relevance. The main stages of evaluating the financial security of municipalities have been developed: collecting of source data, grouping and calculation of statistical indicators, converting the indicators to a comparable type, calculating integrated financial security indicators for each municipality, evaluating the financial security of municipalities, and allocating of municipalities to financial security levels.