FUNDING OF THE SCIENTIFIC SECTOR IN UKRAINE: ISSUES AND DIRECTIONS FOR CHANGE

Abstract

B a c k g r o u n d . Thе article analyzes the science funding model in Ukraine, focusing on its primary sources, dynamics, and impact on research activities. The study is grounded in statistical data and contemporary theoretical approaches to science funding. Special attention is paid to the role of governing and private science funding and their impact on total research and development (R&D) expenditures. The purpose of this study is to assess the impact of relevant factors on the dependent variable – the volume of science funding in Ukraine – to develop a strategic vision forenhancing the country's scientific potential.

M e t h o d s . The study employs a combination of general scientific and specific research methods: a comparative analysis – to identify current threats and challenges to Ukraine's scientific sphere; analysis and synthesis – to determine key directions for supporting Ukraine's scientific potential; and economic and statistical analysis – to examine trends in the development of science in Ukraine and to construct econometric regressions for analyzing the influence of key factors on R&D funding.

R e s u l t s . The analysis focused on key indicators of research activity, including the number of researchers, total R&D expenditures, governing and private science funding shares, and R&D expenditures as a percentage of GDP. Based on the developed econometric model, the findings indicate that per-scientist funding has a significant positive effect on total R&D expenditures, while the share of private funding exhibits an inverse relationship. This may be attributed to inefficient resource allocation or insufficient business integration into the research sector. Conversely, the number of researchers and the share of governing science funding in GDP were statistically insignificant in modeling the total R&D expenditures, possibly due to the increasing emigration of scientists and the dominance of short-term funding strategies.

C o n c l u s i o n s . The study recommends enhancing state funding efficiency, incentivizing long-term private investments, and creating a balanced financial structure that ensures both fundamental and applied research development. Strengthening international cooperation and grantbased funding mechanisms could also contribute to the stability and growth of the national scientific sector.