Economy, finances, management: topical issues of science and practical activity

SCIENTIFIC JOURNALS OF VINNITSA NATIONAL AGRARIAN UNIVERSITY

Issue №: 5 (45)

Published: 2019.08.10

DOI: 10.37128/2411-4413-2019-5

Description:
The magazine deals with the problems of the agricultural sector of the economy in the context of integration and processes of globalization. Attention is paid to the issues of development of digital economy, rural territories, technologies of enterprise management and organization of accounting, problems of legal support of economic processes, market tendencies of development of various branches of economy. Particular attention is paid to green tourism as a promising segment of the national economy.

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FINANCING OF ORGANIC PRODUCTION IN THE CONTEXT OF IMPACT INVESTING

DOI: 10.37128/2411-4413-2019-5-6

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PRUTSKA Olena - Doctor of Economic Sciences,Professor, Vinnytsia Trade and Economic Institute of Kyiv National University of Trade and Economics (Vinnytsia)

Annotation

The article considers and justifies the approach to the financing of organic production as a component of the concept of impact-investing. The essence, features and tools of impact-investment are considered. Impact-investing differences from social investment, socially responsible investment and social entrepreneurship are considered. It is proved that Impact Investment is the newest financial strategy for social development, provides for investments in business projects that initially focused on profit and positive changes in society or the environment
It is noted that scientific consideration of impact investing has not yet been given due attention in Ukraine. The subject of research is at the intersection of financial technology, social entrepreneurship and organic agro-production. Impact investing is considered a separate case of social investing with more clearly defined boundaries.

Examples of social enterprises both in agriculture and in the restaurant business and in manufacturing are known in Ukraine. Because social entrepreneurship is a business, it has all the rules of the business: niche search, market research, competition, investment, and more. Impact investments help measure the external effects of doing business.

With the introduction of the investment impact criterion, it becomes possible to determine what this business impact is, how to measure, study and understand it.
It is emphasized that Impact investing is only beginning to develop in Ukraine.
Over the past few years, examples of such investments have emerged in Kyiv, Lviv, Odessa, Ivano-Frankivsk and other cities. Most of them have started their business through local businesses and have relatively small initial investments by global standards.

The opinion is grounded that investment in the development of organic production can be considered as a form of impact investment. It is concluded that, given the great social importance of the development of organic production, as well as the positive effects that organic agricultural production can potentially have on the development of rural areas, the use of financial resources of agricultural holdings may be promising.

It was proposed to provide a differentiated approach to the collection of a fixed agricultural tax (FAS), taking into account the availability of investments in organic agricultural production, which would have prompted agricultural holdings to include organic production units in their structure.

Investments in the development of organic agricultural production, which are proposed to be considered as impact investments, would allow domestic agro-holdings to a certain extent “rehabilitate”, improve their image, give their debt to society, and contribute to the development of rural areas.

Keywords: impact-investing, organic farming, socio-economic development, social investment, social entrepreneurship, agroholdings

List of references

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About the journal

Topics of the journal:

С1 Economics and International Economic Relations (by specialization)

D1 Accounting and Taxation

D2 Finance, Banking, Insurance and Stock Market

D3 Management

D4 Public Management and Administration

D5 Marketing

D7 Trade

J3 Tourism and Recreation

Keywords: economics , international economic relations , accounting , taxation , finance , banking , insurance , stock market , management , public management and administration , marketing , trade , tourism and recreation

Key information:

ISSN (print): 2411-4413

DOI: 10.37128

All-Ukrainian scientific and production journal “Economics, finance, management: topical issues of science and practical activity” is a peer-reviewed open-access journal that publishes original research, theoretical articles and reviews on a wide range of economic and business issues. The articles, which have scientific and scientific-practical significance, highlight theoretical and methodological aspects of the development of agrarian sector of economy and related industries, the results of fundamental and applied research.

The purpose of the journal is to highlight the results of fundamental and applied research in the field of economic sciences, aimed at developing modern approaches to managing economic processes, financial support for enterprise activities and increasing the efficiency of economic systems. The publication is focused on creating a scientific environment for the exchange of research results between scientists, higher education students and practitioners in economic sphere, as well as on the dissemination of modern scientific and methodological approaches to solving current economic and management problems. The journal contributes to the development of the research in the field of enterprise economics, finance, accounting, auditing, management, marketing, entrepreneurship, trade, tourism and recreation, public management and administration, economic development and international economic relations, which meets the modern needs of the socio-economic development of the state.

The journal’s objectives are:

• publishing the results of fundamental and applied research in the fields of economics, international economic relations, finance, management, public administration, accounting, marketing, tourism and recreation, and entrepreneurship;

• promoting the development of modern methods of managing enterprises and organizations, increasing the efficiency of using financial and material resources;

• supporting the research aimed at improving the economic mechanisms of enterprise functioning, developing innovative activity, and increasing the competitiveness of economic structures;

• ensuring the scientific exchange of research results between higher education institutions, scientific institutions, and business entities;

• developing methods of economic analysis, forecasting, and modeling of socio-economic processes;

• disseminating of modern approaches to financial management, accounting, taxation, and control of economic activity;

• promoting the development of interdisciplinary research related to the economic support of the development of agrarian sector of economy and rural areas;

• integration of scientific research results into the international scientific space and increasing the level of scientific communication.

Publisher: Vinnytsia National Agrarian University

Link to the journal on the publisher’s website: ”Economics, finance, management: topical issues of science and practical activity”

Frequency of issue: 4 times a year.

Language of publication: Ukrainian, English.

Editor-in-Chief: Inna Honcharuk

State registration: Decision of the National Council of Ukraine on Television and Radio Broadcasting No. 1337 and No. 1178. Media identifier – R30-05171. Publisher registration number (EDRPOU) 00497236.

Publisher’s ROR: https://ror.org/05m3ysc06 Publisher’s DOI prefix: 10.37128 ISSN (print): 2411-4413

Publisher DOI prefix: 10.37128 ISSN (print): 2411-4413

The scientific journal is included in category "B" of the List of scientific professional publications of Ukraine, in which the results of dissertations for the degree of Doctor and Candidate of Sciences in the specialties C1 (051) - Economics, D1 (071) - Accounting and Taxation, D2 (072) – Finance, Banking, Insurance and Stock Market, D3 (073) – Management, D5 (075) – Marketing, D7 (076) – Entrepreneurship and Trade, (241) – Hotel and Restaurant Business, D4 (281) – Public Management and Administration (Order of the Ministry of Education and Science of Ukraine dated March 17, 2020 №409)

History of journal:

Founded in 1997 under the name ”Bulletin of Vinnytsia State Agricultural Institute”. In 2010-2014 it was published under the name “Collection of Scientific Papers of Vinnytsia National Agrarian University”. Since 2015 “Economics, finance, management: current issues of science and practical activity” (Certificate of State Registration of Mass Media No. 21154-10954 PR dated 12/31/2014).