A Study of the Relationship between Subsidization and the Gross Regional Product of the Coastal Regions of the Country

Introduction. The system of interbudgetary relations involves numerous preliminary calculations aimed at determining the capabilities of the constituent entities of the Russian Federation to ensure the financing of state and municipal obligations. Budget support is of particular significance for the socio-economic development of Russia’s coastal regions.

The purpose of the article is to study the dependence of gross regional product (GRP) on the subsidization of the coastal regions of the country.

Methods and results. The study summarizes provisions of a number of research works of domestic scientists raising the problems of the development of interbudgetary relations in the country. The dynamics of gratuitous transfers to the budgets and expenses of the consolidated budgets of 23 coastal territories of Russia were analyzed for the period from 2005 to 2022. The subsidization of the budgets of Russian coastal regions was calculated, and the average subsidization for eight years was determined. The dependence of the subsidization of Russia’s coastal regions on the gratuitous receipts from the federal budget was revealed. The study provides a synthesis of the dynamics of GRP, average annual rates of change in GRP, gratuitous transfers and their correlation in the coastal regions. A positive trend towards a reduction in subsidization paralleled with an increase in financial support provided from the federal budget in several subjects of the Russian Federation was confirmed. The authors investigated the relationship between the average annual growth rates of GRP and the growth of gratuitous assistance from the constituent entities of the Russian Federation. It was established that the average annual growth of GRP and the average annual increase in financial support rendered to the coastal regions of Russia in 2019–2022 had practically no correlation with the annual dynamics.

Conclusion. The research found a linear regression dependence of the average annual index of GRP growth of all Russian coastal regions on the average annual index of budget support for 2019–2022. It was determined that the average annual growth of the total budget support index for 2019–2022 led to a decrease in the average annual growth of the total GRP index of all coastal regions of Russia. The positive efforts in strengthening the economic potentials of the coastal regions of the Russian Federation rely not only on the budget support from the federal center, but also on building and developing their own base for GRP growth.