CONCEPTUAL FOUNDATIONS OF FINANCIAL REGULATION OF SUSTAINABLE DEVELOPMENT OF TERRITORIES

The article is devoted to the theoretical and methodological aspects of optimizing the financial regulation of the territorial development of the Republic of Dagestan in terms of increasing its sustainability. In order to optimize financial regulation and increase the sustainability of territorial development, three areas of management impact were identified: Differentiation of budget allocation, revision of the financial support system for the social sphere in terms of increasing its effectiveness, and transformation of the expenditure structure of territorial budgets. The study substantiates the need to apply restrictive fiscal policy, namely its individual elements in terms of reducing government spending in a given area. As a result, a mechanism has been developed that manifests itself not only in ensuring a balance between the revenue and expenditure parts of budgets, but also in optimizing selective level-based budgetary interaction aimed at ensuring the sustainability of individual territories through instrumental and functional impact.