PUBLIC FINANCES AND E-GOVERNMENT: LEGAL STATUS OF BUDGETARY INSTITUTIONS IN THE DIGITAL ECONOMY

Abstract

The article analyzes the impact of the digital economy and e-government on public finances, particularly on the legal status of budgetary institutions. The relevance of studying the transformation of budgetary institutions in the context of the digitalization of public administration is substantiated, emphasizing the growing role of innovative digital tools in modern governance. It is determined that budgetary institutions, as legal entities of public law fully financed from state or local budgets, must adapt their operational practices to the requirements of the digital economy and the evolving mechanisms of public financial management. The article examines the current state of the regulatory framework for e-government in the field of public finance, including the introduction of open data systems on budget expenditures, the use of electronic information resources in the budget process, and the implementation of the national Strategy for Digitalization of Public Finance Management. Particular attention is given to changes in the functions of budgetary institutions under the influence of digital technologies: automation of budget operations, improvement of planning and execution procedures, the introduction of electronic document management, smart contracts, and other intelligent digital solutions that enhance institutional efficiency. It is established that digital governance increases transparency and effectiveness in managing public finances while raising important issues concerning the legal regulation of emerging digital instruments (such as digital assets and electronic services) within the budgetary sphere. The study concludes that the legal status of budgetary institutions must be updated in view of digital transformation, including the legislative consolidation of their rights and obligations under e-government, ensuring cybersecurity, data protection, and further integration into the European digital space Future research prospects include developing specific proposals for improving the financial and legal regulation of budgetary institutions in the digital economy and identifying the most effective model for their functioning under conditions of rapid technological development.