Models of Financing of Natural Monopolies: Budget, Corporate and Project Financing
Subject. To ensure sustainable economic development of the country, it is necessary that natural (infrastructure) monopolies develop at a faster pace than other sectors of the economy. The state historically played a major role in financing the infrastructure facilities building, however, in the cur...
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| Format: | Article |
| Language: | Russian |
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Government of the Russian Federation, Financial University
2017-11-01
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| Series: | Финансы: теория и практика |
| Subjects: | |
| Online Access: | https://financetp.fa.ru/jour/article/view/568 |
| _version_ | 1797878744072847360 |
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| author | Sergey N. Silvestrov Nikolay V. Kuznetsov Gleb L. Podvoisky Natalia E. Kotova |
| author_facet | Sergey N. Silvestrov Nikolay V. Kuznetsov Gleb L. Podvoisky Natalia E. Kotova |
| author_sort | Sergey N. Silvestrov |
| collection | DOAJ |
| description | Subject. To ensure sustainable economic development of the country, it is necessary that natural (infrastructure) monopolies develop at a faster pace than other sectors of the economy. The state historically played a major role in financing the infrastructure facilities building, however, in the current tense economic situation a trend is to reduce government spending. In these conditions, for natural monopolies, evaluation and selection of the most effective sources of financing their investment activities become of special importance.Goals. Comparative analysis of typical models of financing of natural monopolies — budgetary, corporative and project financing. Identifying their advantages and disadvantages, and identify areas of the most appropriate and effective application.Methodology. The researching is based on a dialectical approach. The researching used systemic, comparative and institutional approaches.Results. Each of the considered models of financing has its advantages and disadvantages, and also is characterized by its specificity of use. For short-term investment projects, as well as renovation projects for existing infrastructure, it is advisable to implement a corporative financing model. Budgetary financing is applicable for projects with a long payback period and projects with conditionally “negative return on investments” (projects with very long payback period). The model of “project financing” is most effective for the implementation of large-scale projects with medium or long-term payback.Conclusions. It is shown that, in the current economic conditions, the implementation of most of the infrastructure tasks included in the strategy of Russia’s economic development can be achieved mainly through the use of project financing. However, its progress in Russia is hindered by the underdevelopment of the legislative base. |
| first_indexed | 2024-04-10T02:38:00Z |
| format | Article |
| id | doaj.art-8972f6d05725422e8ae73c2fd4fe01c1 |
| institution | Directory Open Access Journal |
| issn | 2587-5671 2587-7089 |
| language | Russian |
| last_indexed | 2024-04-10T02:38:00Z |
| publishDate | 2017-11-01 |
| publisher | Government of the Russian Federation, Financial University |
| record_format | Article |
| series | Финансы: теория и практика |
| spelling | doaj.art-8972f6d05725422e8ae73c2fd4fe01c12023-03-13T07:49:28ZrusGovernment of the Russian Federation, Financial UniversityФинансы: теория и практика2587-56712587-70892017-11-01215222910.26794/2587-5671-2017-21-5-22-29600Models of Financing of Natural Monopolies: Budget, Corporate and Project FinancingSergey N. Silvestrov0Nikolay V. Kuznetsov1Gleb L. Podvoisky2Natalia E. Kotova3Финансовый университетФинансовый университетФинансовый университетФинансовый университетSubject. To ensure sustainable economic development of the country, it is necessary that natural (infrastructure) monopolies develop at a faster pace than other sectors of the economy. The state historically played a major role in financing the infrastructure facilities building, however, in the current tense economic situation a trend is to reduce government spending. In these conditions, for natural monopolies, evaluation and selection of the most effective sources of financing their investment activities become of special importance.Goals. Comparative analysis of typical models of financing of natural monopolies — budgetary, corporative and project financing. Identifying their advantages and disadvantages, and identify areas of the most appropriate and effective application.Methodology. The researching is based on a dialectical approach. The researching used systemic, comparative and institutional approaches.Results. Each of the considered models of financing has its advantages and disadvantages, and also is characterized by its specificity of use. For short-term investment projects, as well as renovation projects for existing infrastructure, it is advisable to implement a corporative financing model. Budgetary financing is applicable for projects with a long payback period and projects with conditionally “negative return on investments” (projects with very long payback period). The model of “project financing” is most effective for the implementation of large-scale projects with medium or long-term payback.Conclusions. It is shown that, in the current economic conditions, the implementation of most of the infrastructure tasks included in the strategy of Russia’s economic development can be achieved mainly through the use of project financing. However, its progress in Russia is hindered by the underdevelopment of the legislative base.https://financetp.fa.ru/jour/article/view/568бюджетное финансированиеестественные монополииинвестицииинфраструктуракорпоративное финансированиекредитованиемодели финансированияпрограмма развитияпроектное финансированиеэкономическое развитие |
| spellingShingle | Sergey N. Silvestrov Nikolay V. Kuznetsov Gleb L. Podvoisky Natalia E. Kotova Models of Financing of Natural Monopolies: Budget, Corporate and Project Financing Финансы: теория и практика бюджетное финансирование естественные монополии инвестиции инфраструктура корпоративное финансирование кредитование модели финансирования программа развития проектное финансирование экономическое развитие |
| title | Models of Financing of Natural Monopolies: Budget, Corporate and Project Financing |
| title_full | Models of Financing of Natural Monopolies: Budget, Corporate and Project Financing |
| title_fullStr | Models of Financing of Natural Monopolies: Budget, Corporate and Project Financing |
| title_full_unstemmed | Models of Financing of Natural Monopolies: Budget, Corporate and Project Financing |
| title_short | Models of Financing of Natural Monopolies: Budget, Corporate and Project Financing |
| title_sort | models of financing of natural monopolies budget corporate and project financing |
| topic | бюджетное финансирование естественные монополии инвестиции инфраструктура корпоративное финансирование кредитование модели финансирования программа развития проектное финансирование экономическое развитие |
| url | https://financetp.fa.ru/jour/article/view/568 |
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