The article analyzes the dynamics and regional features of the innovation activity of industrial enterprises of Ukraine in 2020-2024 under the conditions of the COVID-19 pandemic and full-scale war. It is established that the industrial sector remains the main generator of innovations: in 2022-2024 it accounted for 65.4% of innovatively active enterprises and 74.7% of innovative products. It is proven that the defense sector became an important driver of innovation development during the wartime period, stimulating the growth of mechanical engineering and vehicle production. To assess the spatial differentiation of innovation activity, a system of indicators covering the main stages of the innovation cycle – from innovation expenditures to sales of innovative products – was developed. Based on these indicators, five stages of transformation of the innovative sphere of industry in 2020-2024 were selected, as well as a regional «innovation core» consisting of Vinnytsia, Zaporizhzhia, Lviv, Ternopil, and Kharkiv regions was identified. It is concluded that the innovation activity of Ukraine’s industry is gradually recovering, however, its level remains below average European standards due to limited financing, insufficient interaction between science and business, and the underdevelopment of technological infrastructure.
industry, innovation activity, innovatively active enterprises, innovative products, innovation expenditures, transformation, regions
The reform of public investments in Ukraine is focused on the strategic development of territories and the transition from sectoral to spatial investment. At the same time, rural territorial communities, for the most part, having lower financial and institutional capacity compared to urban ones, have lower opportunities to compete for investment resources. This, in turn, is a risk of increasing intra-regional disparities in the development of territories. The article substantiates the sources of public investment - the State Fund for Regional Development, subvention for the development of community infrastructure, capital expenditures of local expenditures, international technical assistance, funds attracted under state, local guarantees. The financing instruments for third countries from the European Union structural funds for the period 2021-2027 and the directions of financing rural areas are analyzed. The directions and features of financing rural areas through the financial instruments of the European Union structural funds - NDICI, Interreg, IPA, UkraineFacility are highlighted. An analysis of international organizations that directly support the development of rural areas in Ukraine - IFAD, FAO, EAFRD is conducted. The problems of limiting the volume of state and local budgets for financing public investments, the low level of institutional and financial capacity of local self-government bodies of rural communities, the low activity of local guarantees from village and settlement councils are highlighted. Implementing public investment projects, communities can attract funds from international technical assistance, grant funds, borrowing, but at the same time they have the problem of limited knowledge and practical skills, which does not allow attracting financial resources for local development. The level of institutional capacity of local governments also deteriorated due to the outflow of qualified personnel during the war, the absence of project managers, and low consulting assistance from regional development agencies. On the one hand, the possibilities of raising funds for frontline communities have expanded due to the implementation of the country's recovery program, and on the other hand, significant territories have appeared that, due to the loss of potential, have become unsuitable for investment.
public investments, rural areas, international technical assistance, state budget, local budge, EU Structural Funds
The article explores the theoretical and methodological foundations and outlines methods for analyzing the balanced socio-economic development of a region, taking into account the role of public investment as one of the key instruments of state regional policy. The relevance of the study is driven by the deepening of interregional disparities, increasing socio-economic instability, and the limited availability of financial resources, which necessitate improving the effectiveness of regional development management mechanisms and substantiating the performance of public investment. The article argues that ensuring balanced regional development requires the coordinated functioning of economic, social, institutional, and spatial components, which determines the need to apply comprehensive methodological approaches to their analysis. The author proposes an original interpretation of the methodology for analyzing regional development as a multilevel and phased system of cognition that integrates tools of economic analysis, spatial diagnostics, structural and balance assessment, and evaluation of public investment effectiveness. A step-by-step methodology for analyzing balanced socio-economic development of a region is developed, including a general characterization of socio-economic and infrastructural preconditions for development, identification of spatial proportions and disparities between territories and communities, assessment of the volume, dynamics, structure, and effectiveness of public investment, as well as diagnostics of structural balances and the resilience capacity of the regional economy. Special attention is paid to the analysis of the causal impact of public investment on socio-economic development, the scaling of public–private partnership practices, and the assessment of institutional conditions for the implementation of investment projects. A system of indicators for analyzing balanced regional development is elaborated, based on a combination of functional, resource-based, spatial, and structural-balanced approaches. This system encompasses indicators of economic development, social resilience, demographic stability, fiscal and budgetary sustainability, innovation and technological progress, infrastructural modernization, and environmental security. In addition, the article offers a specific set of indicators for assessing public investment, facilitating the analysis of investment scale, structure, funding sources, and implementation effectiveness of regional development projects. The practical significance of the research findings lies in the possibility of applying the proposed methodology and indicator system in the activities of public authorities and local governments in order to enhance the substantiation of managerial decisions, improve public investment mechanisms, and ensure balanced and sustainable regional development.
The article aims to develop theoretical and methodological basis of economic mechanisms for implementing the state policy of sustainable regional development in Ukraine under the policy of decentralization. Particular attention is paid to strengthening the financial and institutional capacity of regions in the context of structural economic transformations, modern challenges and post-war recovery. The study seeks to substantiate a differentiated approach to selection and application of policy tools depending on the type of a region, its level of economic development, revenue capacity and degree of transfer dependency. The research is based on a systemic approach to analyzing decentralization as a multi-level public governance framework integrating fiscal, institutional and investment components. Methods of scientific abstraction were used to clarify the essence of economic mechanisms and institutional capacity. Statistical and comparative analyses were applied to assess trends in local budget revenues, the structure of tax sources, intergovernmental transfers and indicators of regional financial sustainability. The key quantitative criteria mentioned include per capita local revenues, gross regional product, share of own-source revenues in total budget structure, transfer dependency ratio and capital expenditure levels. A typological classification of regions was used to ensure analytical consistency and policy relevance. The research confirms that fiscal decentralization significantly expanded the revenue base of local budgets, primarily through the assignment of personal income tax, single tax revenues, land payments and other local sources. The article substantiates that the reform enhances financial autonomy and creates incentives for local economic development. However, disparities in economic structure, demographic shifts and business relocation have intensified interregional inequalities. While intergovernmental transfers remain an important instrument of equalization, excessive reliance on them may reduce development capacities and strategic initiative at the local level. The study substantiates the necessity of combining fiscal (budget autonomy, equalization mechanisms), investment (public-private partnerships, development funds) and digital financial tools (open budgets, e-governance systems) and organizational-economic measures that include strategic planning and performance-based budgeting. Their coordinated application within a differentiated model ensures stronger resilience, improved competitiveness and balanced socio-economic development. The scientific contribution lies in the development of approaches that justify used mechanism depending on the type of region and the expected effect, which is also supported by different financial and institutional capacity. This approach enables a more targeted, evidence-based and adaptive implementation of sustainable regional development policy, particularly under conditions of economic instability and reconstruction.
sustainable development, regional policy, state support, local budget revenues, financial and institutional capacity, types of regions
The article presents a comprehensive study of the financial capacity of territorial communities (hereinafter – TCs) of Volyn Oblast under martial law and analyzes the dynamics of key budget indicators of their functioning in 2023–2025. The relevance of the study is conditioned y the transformation of Ukraine’s budgetary system, the strengthening of intergovernmental fiscal relations, the reallocation of financial resources to defense, social protection, and critical infrastructure, and the need to develop adaptive models of local public finance management under wartime conditions. The purpose of the article is to assess the financial capacity of TCs in Volyn Oblast during martial law and to identify the factors influencing its level, particularly the dependence of financial capacity on territorial, demographic, and resource-related characteristics, as well as to determine effective budgeting practices in communities of different size and economic potential. The methodological framework is based on systemic, institutional, and structural-functional approaches, combined with statistical analysis, comparison, grouping, ranking, and elements of correlation analysis to determine the relationship between financial capacity and community potential. The assessment relies on an integrated system of indicators, including general fund revenues per capita, the share of own-source revenues, the level of grant dependency, budgetary self-sufficiency, expenditure structure, and the proportion of development expenditures. Financial capacity was classified into five levels: high, optimal, satisfactory, low, and critical. The study confirms an increasing role of intergovernmental transfers and a reallocation of resources toward defense, social protection, support for internally displaced persons, and maintenance of critical infrastructure. At the same time, a reduction in capital expenditures and investment activity has negatively affected long-term development prospects. Significant inter-community disparities were identified, particularly widening gaps in revenue indicators and budgetary self-sufficiency. Special attention is paid to communities that, despite possessing economic potential, demonstrate low or critical financial capacity due to managerial shortcomings, inadequate budget planning, and limited revenue diversification. It is substantiated that financial capacity depends primarily on the quality of municipal governance and strategic budgeting rather than solely on resource availability. Effective tax administration, revenue diversification, and expenditure rationalization are key determinants of financial sustainability during wartime and the post-war recovery period.
financial capacity, territorial community, local self-government body, local budget
The article examines the issue of ensuring the identification and functioning of agglomerations in regional spatial planning within the context of implementing European experience. It addresses the problem of defining approaches to providing institutional support for the identification and development of agglomerations within the context of implementing European experience. The authors reveal that Ukrainian legislation lacks legal norms defining the procedure for drafting the Agglomeration Development Scheme as a type of urban planning documentation, as well as the procedure for drafting the Agglomeration Development Strategy as a regional policy tool. The absence of legislative norms regarding the criteria for delimiting the suburban areas of cities with populations exceeding 100,000 leads to the existence of multi-variant methodological approaches to their geospatial identification as a component of a Functional Urban Area (FUA). Furthermore, State Building Codes B.1.1-13:2021 still lack clear criteria for differentiating and defining the interconnections between the categories of urban agglomeration, suburban zone, and urbanization zone. At the sub-legislative level, the criterion for the existence of agglomeration links is recognized as the location of territorial community settlements within a 30-kilometer accessibility radius of the administrative borders of the core city, provided its population is at least 470,000. The article argues that development strategies for domestic agglomerations should be implemented based on territorial cohesion principles that were conceptually updated following the Warsaw meeting of European Union ministers in May 2025. Transitioning from a model of spatial expansion to a model of institutional integration of territorial communities within unified Functional Urban Areas (FUA) should be prioritized. The study determines that the competitive potential of an agglomeration is based on the synergy of key dominants: geospatial localization, economic determinism, infrastructural and financial maturity, and socio-cultural and environmental attractiveness. Specifically, geospatial localization is defined as an integral property of an agglomeration, reflecting the unique spatial identity of a specific functional urban area within one or more regions, considering the totality of natural-geographic, socio-economic, environmental, and urban planning factors. The authors suggest approaches to implementing the Agglomeration Spatial Planning Scheme as regional-level planning documentation and the Agglomeration Development Strategy as a strategic planning document of state regional policy, emphasizing the integrated combination of the key dominants to ensure agglomeration competitiveness.
agglomeration, region, spatial planning, identification of agglomerations, functioning of agglomerations
Development of Rural Territories and Agrarian Sector of the Economy
The article addresses the role of corporate social responsibility (CSR) in forming the resilience of corporate governance systems within the agro-industrial complex (AIC) of Ukraine. The study is motivated by the critical challenges facing Ukrainian agroholdings under full-scale war: destruction of production and transport infrastructure, temporary occupation or mining of agricultural land, disruption of export routes, and a severe labor shortage. These circumstances have demonstrated that conventional approaches focused on stability or resistance are no longer sufficient to ensure sustainable agribusiness operation. The institutional nature of agroholdings is analyzed as vertically integrated structures combining logistical coordination with social governance. Their formation on the basis of joint-stock capital creates preconditions for establishing control over key segments of the AIC, while vertical integration minimizes transaction costs and reduces dependence on external counterparties. A conceptual distinction is drawn between the categories of "resistance" and "resilience": the former denotes the capacity of a system to withstand external pressures while preserving its structure, whereas the latter implies the ability to adapt, learn, and generate new development trajectories after crossing a bifurcation point. Resilient systems do not merely survive crises – they use external shocks as impulses for institutional and functional renewal. Four key channels through which CSR influences corporate governance system resilience are identified: human capital development, stakeholder engagement, ESG practices, and reputational capital. Investment in human capital enhances personnel adaptability and reduces managerial failures. Responsible relationships with stakeholders diminish conflict in the external environment and provide informal support during instability. The integration of CSR and ESG approaches into the governance system increases transparency and enables proactive risk management. Reputational capital broadens access to financing and accelerates recovery after destabilizing shocks. It is demonstrated that under wartime conditions, with logistical chains broken and the agro-export model transformed, corporate governance system resilience is shaped at the intersection of economic, social, and territorial factors. CSR in this context functions not merely as a reputational policy instrument but as a strategic tool for maintaining manageability, sustaining community employment, and restoring production and logistics processes. The conclusion is drawn that integrating CSR and ESG principles into the corporate governance system of agroholdings is a key determinant of their long-term resilience, and applied methodological tools for measuring this resilience require further development.
The article analyses and evaluates environmental protection spending in terms of achieving the regional ecological policy objectives and trends in spending changes in Ukraine in 2019 – 2024 before and during Russian aggression. The article argues that state and local budgets are currently the main sources of environmental protection spending in Ukraine. The state budget’s environmental protection spending accounted for 0.549% of the 2019–2021 total before military operations began. Meanwhile, during the military operations, this figure fell sharply to 0.173%. Compared to the amount of cash inflows for 2019–2021, spending decreased sharply by 38.5%. The actual level of environmental protection spending in both the state budget and regional budgets is extremely low, particularly during military operations. Analysis and evaluation of environmental protection spending show that it is decreasing substantially both in both state and regional budgets due to wartime factors and the large-scale destruction of the industrial, power, and infrastructural bases. The evaluation of Ukraine’s regions in terms of the percentage increase or decrease in cash inflows for environmental protection for 2022–2024 relative to the total amount for 2019–2021 provides for the identification of the following gradations of level: moderately favourable, moderately unfavourable, unsatisfactory, significantly unsatisfactory, very unsatisfactory, extremely unsatisfactory, and unacceptable. A moderately favourable level is identified for two oblasts: Volynska and Ternopilska. Two oblasts, Zakarpatska and Rivnenska, are identified as of moderately unfavorable level. An unsatisfactory level is typical of Kyivska, Mykolayivska, and Chernivetska oblasts. A significantly unsatisfactory level is in Odeska, Hmelnytska, Lvivska, and Kyivska oblasts. Sumska, Dnipropetrovska, Donetska, Harkivska, Luhanska, Zhytomyrska, Zaporizka, Vinnytska, and Hersonska oblasts have an extremely unsatisfactory level. The level is unacceptable in Cherkaska oblast. No environmental protection spending is recorded in the oblast budget for 2022–2024. The indicators for evaluating the level of cash inflows for environmental protection are open to information updates and adjustments in line with future monitoring studies.
The article substantiates the organizational and economic mechanism for implementing innovations in waste management within mountain territorial communities of the Carpathian region. The study draws on a retrospective analysis of capital investment dynamics in waste management across the region's four oblasts (Zakarpattia, Ivano-Frankivsk, Lviv, and Chernivtsi) for the period 2020–2024, which revealed a state of innovative insufficiency in the current system and pronounced territorial heterogeneity in investment allocation. The year 2024 marked a structural turning point, as investment flows were sharply redirected towards the development of waste processing capacities. Lviv oblast demonstrated a model of concentrated resource accumulation, with the share of sectoral investments reaching 68.2 per cent (approximately 470 million hryvnias). Zakarpattia oblast, by contrast, exhibited a pattern of dispersed investment across local nodes, confirming the feasibility of modular solutions for mountain territories. Ivano-Frankivsk oblast recorded a threefold increase in waste management expenditures, while Chernivtsi oblast overcame a prolonged phase of investment stagnation. The mechanism integrates five interrelated components: institutional-coordination, economic-stimulating, organizational-infrastructural, information-monitoring, and social-integration. The institutional-coordination component establishes the legal basis for inter-municipal cooperation and the differentiation of regional waste management plans according to community types. The economic-stimulating component introduces the financial instrument of "Eco-dividend", based on the principle of ecological solidarity and horizontal financial equalization between territorial communities. Under this arrangement, communities that derive economic benefits from the recreational potential of the Carpathians direct a portion of their revenues to support the environmental infrastructure of vulnerable highland communities. The organizational-infrastructural component envisages the deployment of modular primary processing systems in highland communities and the creation of a network of local bio-centers for composting organic fractions. The information-monitoring component incorporates digital platforms for real-time waste flow tracking, including IoT sensors, GIS-based route modelling, and scenario-based forecasting using Big Data analysis. The social-integration component is aimed at engaging the business sector through mandatory sorting regulations and the formation of cluster partnerships. Adaptive management models have been developed for four functional types of mountain communities: highland depressive, tourist-recreational, foothill transit, and foothill peripheral. The alignment of the proposed mechanism with the provisions of the Framework Convention on the Protection and Sustainable Development of the Carpathians has been established. It is concluded that the development of waste management in the region should be grounded in the principle of ecological solidarity, whereby every investment in vulnerable communities constitutes a contribution to the sustainable development of the macroregion and its integration into the circular economy space of the European Union.
The article examines regional waste management policy in Ukraine under contemporary socio-economic, environmental, and security challenges. It substantiates that waste generation, accumulation, and treatment have evolved beyond a purely environmental issue and increasingly function as a determinant of regional and socio-economic security. The study analyzes national trends in waste generation, recovery, incineration, and landfilling during the period 1995–2020, taking into account significant methodological changes in official statistical reporting introduced after 2010. These changes expanded statistical coverage to include household waste and waste of lower hazard classes, which explains the sharp increase in reported volumes without indicating actual physical growth. The results demonstrate the persistent dominance of landfill disposal and a chronically low level of waste recovery, indicating structural inefficiency and limited development of waste treatment infrastructure in Ukraine. Incineration remains marginal, while energy recovery technologies are underutilized compared to European Union practices. Particular attention is paid to hazardous waste management, which is constrained by high treatment costs, technological complexity, institutional fragmentation, and risks of illegal disposal and underreporting. A regional case study of Lviv oblast covering 1995–2023 reveals spatial disparities in waste management practices and confirms the predominance of landfill disposal at the regional level. The analysis identifies the impact of the COVID-19 pandemic on the growth of medical and hazardous waste streams, as well as the destabilizing effects of military actions on waste generation and treatment capacities. Despite some growth in recovery volumes during specific periods, the overall structure of waste management in the region remains unbalanced. The article argues that strengthening regional waste management policy is essential for reducing long-term environmental risks. Priority measures include the application of the waste hierarchy principle, differentiated approaches to various waste categories, infrastructure modernization, and the integration of circular economy principles. It is concluded that an integrated policy framework combining institutional reforms, investment mechanisms, and increased environmental awareness can transform waste management from a source of ecological pressure into a driver of sustainable regional development in the context of post-war recovery and European integration.
This paper presents a comprehensive analysis of carbon dioxide (CO2) emission dynamics from stationary and mobile sources in Ukraine, with a particular focus on the western region. The study examines the sectoral structure of emissions in order to identify the main contributors and long-term trends shaping the national carbon profile. Statistical and analytical methods are applied to assess changes in emission volumes over recent years and to determine the role of key economic sectors in overall greenhouse gas formation. The results indicate that more than 75% of total CO2 emissions in Ukraine are generated by the electricity and gas supply sector as well as by metallurgical production, confirming the dominant influence of energy-intensive industries on national emission levels. Within the western region, the highest emission volumes are observed in the Ivano-Frankivsk and Lviv oblasts, which is primarily attributed to the operation of fossil-fuel-based thermal power plants. These findings highlight the strong dependence of regional emission intensity on the structure of industrial activity and prevailing energy consumption patterns. The paper further evaluates regional specificities of emission formation and emphasizes the contribution of research institutions and higher education establishments to the development of a low-carbon economy. Particular attention is given to scientific activities aimed at advancing clean energy technologies, especially in the field of hydrogen energy. These efforts include the development of safe hydrogen production methods, innovative materials for hydrogen storage, and efficient transportation systems designed to enhance energy security and reduce reliance on conventional fossil fuels. A methodology for the experimental assessment of hydrogen embrittlement in carbon pipeline steels intended for hydrogen transport or its mixtures with natural gas is presented. In addition, the study presents research outcomes related to the integration of renewable energy sources into hybrid energy systems. The combination of wind and solar power with advanced energy storage technologies is analyzed as an effective strategy for optimizing the balance between electricity generation and consumption. The development of combined energy supply systems based on wind turbines, geothermal heating systems, and hybrid solar collectors is also considered a promising approach to increasing energy autonomy and improving system resilience. Overall, the results demonstrate that technological innovation supported by regional scientific capacity plays a crucial role in reducing carbon emissions and facilitating Ukraine’s transition toward sustainable, low-carbon development. The findings provide a scientific basis for evidence-based policymaking, contributing to the improvement of regional decarbonization strategies, investment priorities, and regulatory frameworks aligned with European climate objectives.
low-carbon development, carbon dioxide emissions, renewable energy sources, clean energy, Western region of Ukraine
The article substantiates the methodological framework for analyzing the efficiency of the tourism and recreation sphere in Ukraine's Carpathian region, encompassing Zakarpattia, Ivano-Frankivsk, Lviv, and Chernivtsi oblasts, in the context of sustainable regional development. The relevance of the study is determined by the growing gap between the region's significant resource potential and the uneven translation of this potential into a functioning, economically productive, and socially beneficial tourism system. Seasonal overcrowding at a handful of well-known resorts coexists with a near-total absence of visitor infrastructure in adjacent mountain communities, while aggregate growth figures mask deep spatial disparities in employment, income, and service quality. The additional strain of full-scale war, which has transformed the region into a primary destination for internally displaced persons, has made the question of efficiency both more urgent and considerably more complex. The study reconceptualizes efficiency from a narrow economic interpretation, limited to indicators such as overnight stays and revenue per room, towards a multi-criteria understanding integrating economic viability, social inclusiveness, ecological sustainability, and institutional coordination capacity. The organizational and economic prerequisites for tourism functioning are analyzed, highlighting the unique combination of natural-geographical, ethno-cultural, and landscape characteristics that shapes the regional tourism model. An adaptive four-stage methodology is developed, grounded in systemic, index, and scenario approaches. The first diagnostic-analytical stage establishes the information base and identifies instability factors. The second indicative-index stage constructs a system of integrated indicators across four dimensions: economic performance, social significance, ecological balance, and institutional-governance capacity, normalized using the min-max method. The integral index of tourism and recreation sphere efficiency is proposed as a weighted aggregate enabling interregional and intertemporal comparison. The third scenario-prognostic stage elaborates three development trajectories: inertial, stabilization-adaptive, and adaptive-innovative. The fourth stage assesses resilience and formulates management recommendations. Specific adaptations for the Carpathian context address spatial differentiation between urban centers and peripheral mountain communities, the concentration of protected areas covering 16 per cent of Ivano-Frankivsk and Zakarpattia oblasts, the substantial informal tourism sector that distorts official statistics, and the fragmented multi-level institutional structure of tourism governance under decentralization. The proposed indicator system is harmonized with European sustainable tourism assessment standards, notably the ETIS framework recommended by the European Commission.
tourism and recreation sphere; Carpathian region; functioning efficiency; analysis methodology; integral index; sustainable development; destination management