Single window for communication among the participants of the budget process: EU4PFM together with the Ministry of Finance implement a new IT system for the development, preparation and implementation of the state budget of Ukraine

On October 3, the Ministry of Finance of Ukraine held an initial meeting with 50 key spending units — participants in the pilot program for new digital solutions in the budget process.

On behalf of the Ministry of Finance, First Deputy Minister of Finance Denys Uliutin, Deputy Minister of Finance for Digital Development, Digital Transformations and Digitalization Oleksandr Hrubiian, State Secretary Dmytro Samonenko, as well as directors of the State Budget Department and the Department for Digital Development, Digital Transformations and Digitalization took part. From EU4PFM, Jurgita Domeikiene, Team Leader, and Dragan Jeremic, International Key Expert on IT, joined the meeting. The presentation was delivered by the developers of the corresponding IT solution from the state institution “Open Public Finance”.

The participants were introduced to the features of the automated information system for online interaction with key spending units (AIS “KSU-WEB”) and were also briefed on the pilot program for this IT system.

During the opening speech, Denys Uliutin expressed gratitude to the EU4PFM Team and all partners who assisted in the development of the IT system for planning and monitoring the state budget’s implementation. “One of our main tasks within the framework of public finance reform is to enhance strategic budget planning and transition to a new, European-level approach to managing the state budget. Such a transformation will necessitate strengthening the analytical capabilities of the key spending unit managers and ensuring more efficient access to information. The new IT system for interacting with the KSU automates this process to the greatest extent possible and is of paramount importance for Ukraine’s journey toward EU membership. We anticipate that, by next year, we will be able to prepare the Budget Declaration and the budget with the assistance of this new system”, emphasised Denys Uliutin.

The system is intended for use by bodies, institutions, and organisations endowed with budgetary powers — rights and responsibilities for managing state budget funds. Participants in the budget process at all levels will be represented in the system.

Oleksandr Hrubiian stated that the new IT system for interacting with budget managers will become the only digital tool for communicating with the Ministry of Finance during the budget process, ensuring the exchange of legally significant documents that will be properly stored, verified, and consolidated. “Our goal is to familiarise you with the new system and receive suggestions for its improvement. Essentially, we invite you to become architects of the new system alongside us.”

“EU4PFM remains committed to supporting Public Finance Management reforms toward EU membership and providing assistance for the development of a new IT system for budget planning and monitoring. The development of such an IT solution was and still is one of the biggest priorities of our Project. We sincerely hope that the system will be operational by November 2024, contributing to the transformation of Public Finance Management. In the long run, this IT solution will facilitate the implementation of mid-term budget planning and will be an efficient tool for evaluating the execution of budget programs, including assessing their effectiveness. There is still a long way to go, but the EU4PFM Project Team stands for PFM reforms and achieving the ultimate goal of EU accession,” noted Jurgita Domeikiene.

The main advantages of the future scheme of interaction with the key spending units (KSU) include:

The implementation of new digital solutions in the budget process is a significant step toward reforming Ukraine’s public finance management system. These decisions will improve management efficiency, ensure transparency and accountability, and contribute to the implementation of medium-term budget planning.