Categorical basis of the process of financial development

Abstract

Тhe weakest part of the national economic system is a subsystem of formation, distribution and redistribution of financial resources which ensure its sustainability in general. Therefore, in crisis conditions the issue of managing financial development receives especial urgency. The purpose of the paper is summarizing of approaches to determining the nature of the category «development» and the concept of «financial development». The essence of the category “development” is studied in the paper in connection with those categories of dialectics as the content and form, cause and consequence, possibility and reality. Basing on the summarize of modern approaches to treatment of concepts «economic growth» and «economic development» it was proved, that development of any system is transition to more qualitative state through complication of its structure which is characterized by the absence of contradictions between form and content. The difference in understanding of key feature of the concept «financial development» by national and European scientists was determined, which consists of giving preference by the latter to financial intermediation being the instruments of access to capital markets and financial services. The own treatment of the concept «financial development» which is relevant at the present stage of formation of Ukrainian society was formulated. The categorical background of defining the essence of the concept «financial development» should take into account the need in shift of emphasis from administrative and fiscal component of distribution function of finance towards mechanisms of market regulation will facilitate harmonization of modern requirements for the content of financial relations with the form of their implementation.