Formulating state policy to support state corporations in strategic economic sectors

Abstract

In the context of economic instability and global challenges, effective support for state corporations is a key element in ensuring the economic security and development of a country. The aim of this study was to analyse the processes of formulating state policy aimed at supporting state corporations in priority economic sectors and to propose a comprehensive approach to enhancing this support. Using methods of comparative analysis, descriptive methods, and statistical analysis, the main problems and barriers hindering the effective functioning of state corporations were identified. The peculiarities of forming state policy to support state corporations in Ukraine’s strategic sectors were examined. Current challenges and policy principles were identified. Modern state approaches aim to provide a comprehensive analysis, backed by the latest scientific research, offering an understanding of effective policy formulation and implementation. Successful strategies were identified, including the implementation of best corporate governance practices, stimulating innovation, and ensuring financial stability through the diversification of funding sources. The results obtained indicate the need for a balanced approach to supporting state corporations, combining direct financial assistance with regulatory and institutional measures. In cases where state governance mechanisms are underdeveloped and the risks of state failure are high, the number of state enterprises should be limited. The concept integrates various components crucial for supporting state corporations, including regulatory mechanisms, financial incentives, and management structures. The necessity for flexibility and adaptability in policy development was emphasised, allowing state corporations to effectively respond to changing economic and technological conditions. The study proposed a comprehensive policy formation model consisting of such interrelated components as the selection of policy instruments, implementation structures, determination of sectoral priorities, and adaptive management. The study developed practical tools to enhance the efficiency of state corporations in key economic sectors.