Importance The functioning of State higher education establishments under the conditions of stiff competition amid increasing demands of consumers and public authorities requires substantial improvement of the efficiency of financial asset management. Objectives Since the conditions of operation of public universities in our country in general are identical, the main purpose of this work was to identify the most pressing constraints of financial and economic development of higher education establishments based on the study and generalization of the best practices, and to develop the ways to overcome them. Methods On the basis of a system approach, I made a comprehensive analysis of the regulatory framework governing the financial-economic activities of the higher education establishments. The paper systematizes the most common problems of the public higher education institutions development in the modern economic conditions. Application of conceptual modeling made it possible to identify priorities for improving financial and economic activities of the State higher education establishments. Results The study identified and systematized the most common tasks for economic development of the State higher education establishments in the modern conditions. For each task, I have developed a list of activities for its implementation and proposed indicators to monitor the implementation. The results obtained can be used by the State higher education establishments to discuss, develop and implement a set of measures to overcome existing problems of economic development. Some of the proposed activities may be implemented in the framework of medium-term development programs of public higher education establishments while developing special-purpose programs for higher education. Conclusions and Relevance I came to a conclusion that at present the budget of a State higher education establishment should become an efficient instrument to manage and implement innovation development programs. Therefore, in order to use more efficiently the limited financial resources of higher education establishments, I propose to move from financing areas of activities to financing special-purpose programs for innovation development and integrated design solutions.
Keywords: financial and economic development, State higher education establishment, strategic priorities
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