ECONOMIC GROWTH THROUGH ENVIRONMENTAL RESPONSIBILITY: PROSPECTS FOR GREEN ECONOMY DEVELOPMENT IN UKRAINE

Authors

  • Iryna Tsymbaliuk dr.sc.(econ.), professor, professor at the department of management, Lesya Ukrainka Volyn National University, Lutsk
  • Nataliia Khomiuk dr.sc.(econ.), head at the department of management, Lesya Ukrainka Volyn National University, Lutsk
  • Viktoriia Smaliukh lecturer of the department of economics and entrepreneurship, Volyn Vocational College of the National University of Food Technologies

Keywords:

environmental responsibility, social responsibility, economic growth, green economy, environmental protection measures, environmental protection expenditures, environmental pollution, environmental investments, sustainable development.

Abstract

Tsymbaliuk I.O., Khomiuk N.L., Smaliukh V.M. ECONOMIC GROWTH THROUGH ENVIRONMENTAL RESPONSIBILITY: PROSPECTS FOR GREEN ECONOMY DEVELOPMENT IN UKRAINE

Purpose. The aim of the article is to analyse the financing of environmental protection measures in Ukraine, assess its dynamics and effectiveness in comparison with international standards, and identify challenges and prospects for the development of the green economy as a factor of long-term economic growth.

Methodology of research. The study employs the following methods: abstract and logical – to generalize information and formulate theoretical conclusions on environmental responsibility; analysis and synthesis – to assess financial mechanisms of environmental development; comparative – to compare the level of environmental investments in Ukraine and EU countries; graphical – to visualize the dynamics of environmental expenditures and their efficiency.

Findings. It has been established that the level of environmental protection financing in Ukraine remains insufficient to ensure sustainable development, amounting to only 0.12% of GDP in 2023, which is significantly lower than the European average (1.5–3%). The analysis of capital investments in environmental activities revealed a declining trend after 2019, attributed to economic instability, military actions, and the reallocation of budgetary funds. The study identified an uneven distribution of environmental funding: significant resources are allocated to water treatment and waste management, while air protection and soil rehabilitation remain underfunded. The analysis of the efficiency of environmental expenditures indicates their gradual positive impact on pollution reduction.

Originality. The substantiation of the impact of environmental responsibility on economic growth through the mechanisms of financing environmental protection measures has been further developed, allowing for an assessment of the effectiveness of environmental expenditures and their compliance with international standards. The main disparities in the distribution of environmental investments were identified, and recommendations for improving the environmental financing system were developed.

Practical value. The practical significance of the study lies in the assessment of the effectiveness of environmental protection expenditures and the identification of imbalances between capital investments and current expenses, which can be useful for government authorities and businesses. The obtained results can be used to develop mechanisms for increasing capital investments in environmental technologies, which will contribute to reducing pollution levels and improving the environmental situation in the country.

Key words: environmental responsibility, social responsibility, economic growth, green economy, environmental protection measures, environmental protection expenditures, environmental pollution, environmental investments, sustainable development.

References

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Issue

No. 4 (2024): INNOVATIVE ECONOMY

Section

Environmental economics and ecologization of the environment

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How to Cite

“ECONOMIC GROWTH THROUGH ENVIRONMENTAL RESPONSIBILITY: PROSPECTS FOR GREEN ECONOMY DEVELOPMENT IN UKRAINE”. INNOVATIVE ECONOMY, no. 4, Mar. 2025, pp. 151-8, https://inneco.org/index.php/innecoen/article/view/1400.