Rohov H. The system of financial mechanisms for corporate sustainable development and its formation in Ukraine.

The thesis contains theoretical generalization and substantiates the methodology of solving the important scientific problem of forming and operating the system of financial mechanisms for corporate sustainable development aimed at harmonizing the interests of society and business entities. To solve this problem, the concept of the formation and functioning of the system of financial mechanisms for corporate sustainable development is proposed. The dialectical interrelation of specified categories in the conditions of application of corporate sustainability concept and the model transitional to it is determined. The priority of long-term financial goals of corporate sustainable development is substantiated. The definition content of “balanced development” and balancing criteria is specified. The institutional environment influence on form and tightness of the relationship between corporate financial and social performance is determined and the effect of forming a system of financial mechanisms for sustainable development on the change in the equilibrium state coordinates of an enterprise has been proved in the thesis. The conceptual framework for integral dynamic system of financial mechanisms for corporate sustainable development has been substantiated. This system is structured both by the types of mechanisms and by interacting subjects, which take part in their formation and application. As a result of an analysis of the complex systems properties and taking into account the features of corporate sustainable development, the objective principles of forming the financial mechanisms system as well as its system functions are substantiated. In the thesis it is shown that the ecological and social externalities of economic activity are perceived by the state and society as a negative system factor, however, given the current state of the Ukrainian economy and the institutional environment, they are not transformed into financial risks of Ukrainian enterprises that compete only in economic field. As a result of discriminant analysis of the corporate sustainability factors the priority of the export orientation factor and the insignificant role of financial incentives were determined. The structural and functional analysis of the system of financial mechanisms in Ukraine in the context of ensuring corporate sustainability is carried out. The effectiveness of tax incentives for corporate sustainable development is estimated. As a result of analyzing the current banking practices of a firm’s creditworthiness evaluation it is found that these practices are based on assessing only financial performance in previous reporting periods and do not take into account the credit risks associated with low environmental and social standards. Using mathematical approach of tree classification construction in the form of Random forest algorithm, factors influencing the selection of equity issuance type in the conditions of undeveloped stock market and the institutional environment of the Ukrainian corporate sector are determined for the first time. The study proves that the insurance mechanism for corporate sustainable development in Ukraine is at the initial stage of formation process and does not solve the problem of reducing a negative impact of risks of imbalanced stakeholders’ interests. It is proved that the corporate financial performance has a slight effect on firm’s net profit distribution, which is aimed primarily at serving the interests of majority shareholders. The thesis examines the methods of reforming system of financial mechanisms in Ukraine and the processes of its self-organization on the principles of corporate sustainable development. The theoretical and methodological foundations of the environmental-labor tax reform (ELTR) have been further developed. The cause effect relationships of the budget mechanism of corporate sustainable development with the enterprises institutional environment are determined. The principles of state regulation of dividend and investment policy have been further developed in the context of the investment mechanism of corporate sustainable development. The theoretical and methodical approach to determining the creditworthiness of enterprises is supplemented by incorporating indicators of corporate sustainability. This approach makes it possible to predict in a timely manner a transformation of low corporate environmental and social standards into credit risks under the influence of forming a system of financial mechanisms and ensure that the system implements functions of stimulating and financing the corporate sustainable development. The conceptual bases of sustainable insurance have been further developed. The structure of the insurance mechanism of corporate sustainability and the factors of its formation are determined.