A model of state (municipal) subsidizing of education credit repayments in the sphere of higher professional education

Abstract

The Concept of the Reform in the Budget Process in the Russian Federation in 2004–2006 was approved by Resolution 249 of the Government of the Russian Federation «Concerning the measures for the enhancement of the efficiency of budget expenditures» of May 22, 2004. This concept puts forward the problem of enhancing the efficiency of budget expenditures, and new result-oriented methods of budget planning are developed. The article considers two methods of financing that are already being used to a certain extent professional education in the framework of current budget financing. These two methods are providing student loans for the population and subsidizing education in those professions that the state considers especially important. The purpose of the article is to elucidate the possible difficulties in the implementation of these financing mechanisms. It should be mentioned that most of these problems are avoidable and should be considered to be risks that need to be minimized.