Incentivizing Federal Subjects to Improve Regional Financial Management

Based on the results of a regional financial management assessment, the article proposes the use of financial incentives for federal subjects to improve their regional financial management. We have developed an algorithm for distributing additional revenue of federal subject budgets for achieving positive dynamics in regional financial management. Implementation of this algorithm will contribute to achieving the goal of the state program "Development of Intergovernmental Relations and Creation of Conditions for Effective and Responsible Management of Regional and Municipal Finances". The theoretical and methodological basis for the research is the budget legislation of the Russian Federation, research object is the quality of regional financial management in the federal subjects of Russia, and research subject is the scope of financial relationships arising from the use of its assessment results. Assessment results published on the official website of the Ministry of Finance of the Russian Federation, as well as data from the State Programs of the Russian Federation portal is the research base.