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RESEARCH CENTRE FOR INDUSTRIAL DEVELOPMENT PROBLEMS of NAS of Ukraine (KHARKIV, UKRAINE)

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Territorially Oriented Public Investment for Functional Types of Territories: The EU Experience
Dub A. R.

Dub, Andrii R. (2026) “Territorially Oriented Public Investment for Functional Types of Territories: The EU Experience.” Business Inform 5:204–214.
https://doi.org/10.32983/2222-4459-2026-5-204-214

Section: Regional Economy

Article is written in Ukrainian
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UDC 332.1:336.5 (4-6ЄС)

Abstract:
European practice shows that the approach to organizing public investments, based on a functional typology of territories, is effective because it defines planning units through the lens of real socioeconomic connections rather than administrative geography. The European Union’s cohesion policy, supported by a developed legal and institutional framework, demonstrates how a functionally differentiated approach to distributing public investments can ensure sustainable development of different functional types of territories. The aim of the study is to analyze the practice of carrying out territorially-oriented public investments for functional types of EU territories and the possibility of further adapting it to the realities of Ukraine. The article explores approaches to forming functional types of territories in the European Union, which makes it possible to move from implementing general sectoral policies to addressing more specific problems characteristic of different types of territories, both within EU countries and between them. The article looks into the conditions for attracting financial resources for carrying out public investments for the development of functional types of territories, which involves creating territorial and local development strategies based on the principle of participation. The article also explains how tools for integrated territorial development of EU functional territory types are used, including integrated territorial investments and community-led local development. Specific cases of using these tools in the European Union are presented, and possible ways to apply them in Ukraine are suggested.

Keywords: functional types of territories; public investments; strategy; local development; comprehensive territorial investments; European structural and investment funds.

Tabl.: 1. Bibl.: 15.

Dub Andrii R. – Candidate of Sciences (Economics), Associate Professor, Senior Research Fellow, Department of Regional Financial Policy, Institute of Regional Research named after M. I. Dolishniy of the NAS of Ukraine (4 Kozelnytska Str., Lvіv, 79026, Ukraine)
Email: [email protected]

List of references in article

ccre-cemr.org. The use of integrated territorial tools in cohesion policy. ITI and CLLD. https://ccre-cemr.org/wp-content/uploads/2024/04/230124_EN_analysis_ITI_CLLD_ final.pdf?utm_source=chatgpt.com
data.europa.eu. (2021, June 24). Regulation (EU) 2021/1060 of the European Parliament and of the Council of 24 June 2021 laying down common provisions on the European Regional Development Fund, the European Social Fund Plus, the Cohesion Fund, the Just Transition Fund and the European Maritime, Fisheries and Aquaculture Fund and financial rules for those and for the Asylum, Migration and Integration Fund, the Internal Security Fund and the Instrument for Financial Support for Border Management and Visa Policy. http://data.europa.eu/eli/reg/2021/1060/oj
Demertzis M., Pinkus D. & Ruer N. (2024). Accelerating strategic investment in the European Union beyond 2026. Report 01/2024. Bruegel. https://www.bruegel.org/report/accelerating-strategic-investment-european-union-beyond-2026
European Commission. Territorial cohesion. https://ec.europa.eu/regional_policy/policy/what/territorial-cohesion_en?etrans=el
Eurostat. (2024). Territorial typologies manual (updated in 2024). https://ec.europa.eu/eurostat/statistics-explained/index.php?title=Territorial_typologies_manual
Eurostat. (2018). Methodological manual on territorial typologies. https://ec.europa.eu/eurostat/web/products-manuals-and-guidelines/-/KS-GQ-18-008
functionalareas.eu. (2024). Methodological Toolkit to improve governance, coordination, planning, and implementation processes across jurisdictional boundaries. Functional Areas in the EU. https://functionalareas.eu/wp-content/uploads/2024/07/FA-Toolkit_11.07.2024_pages.pdf
Ivashko O. A. (2023). Publychne investuvannia v rehionakh i hromadakh: kontseptualni zasady, mekhanizmy zaluchennia ta osoblyvosti vykorystannia [Public investing in regions and communities: conceptual foundations, mechanisms of attraction and features of use]. Naukovi zapysky Lvivskoho universytetu biznesu ta prava. https://nzlubp.org.ua/index.php/journal/article/view/1527/1327
OECD (2020). Delineating Functional Areas in All Territories. OECD. https://doi.org/10.1787/07970966-en
Pertoldi M., Fioretti C., Guzzo F. & Testori G. (2022). Handbook of Territorial and Local Development Strategies. Publications Office of the European Union. Luxembourg. https://doi.org/10.2760/57919
ruralnetwork.scot. CLLD – Community Led Local Development. https://www.ruralnetwork.scot/community-led-local-development/
Storonianska I. Z., Patytska Kh. O. & Ivashko O. A. (2025). Reformuvannia systemy upravlinnia publichnymy investytsiiamy: instytutsiini zasady ta pereshkody na shliakhu vprovadzhennia [Reforming the public investment management system: institutional foundations and obstacles to implementation]. Finansy Ukrainy, 7, 27–43. https://doi.org/10.33763/finukr2025.07.027
Syromolot E. (2025). Osoblyvosti identyfikatsii funktsionalnykh typiv terytorii: ukrainskyi ta yevropeiskyi pidkhody [Features of identification of functional types of territories: Ukrainian and European approaches]. Aspekty publichnoho upravlinnia, 1(13), 53–60. https://doi.org/10.15421/152506
zakon.rada.gov.ua. (2025, November 19). Postanova Kabinetu Ministriv Ukrainy «Pro vyznachennia pereliku funktsionalnykh typiv terytorii ta vymoh do pokaznykiv dlia vidnesennia terytorii do riznykh funktsionalnykh typiv» vid 19 lystopada 2025 r. № 1493 [Resolution of the Cabinet of Ministers of Ukraine "On determining the list of functional types of territories and requirements for indicators for classifying territories into different functional types" dated November 19, 2025 No. 1493]. https://zakon.rada.gov.ua/laws/show/1493-2025-p#n9
Zhalila Ya. A. (2023). Terytorialno-oriientovani mekhanizmy stymuliuvannia investytsii u povoiennomu vidnovlenni Ukrainy: analit. dop. [Territorially-oriented mechanisms for stimulating investments in the post-war recovery of Ukraine: analyt. rep.]. Kyiv: NISD. https://doi.org/10.53679/NISS-analytrep.2023.09

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