THE IMPORTANCE OF OPENNESS AND TRANSPARENCY IN STATE BUDGET EXECUTION

This article analyzes the importance of the principles of openness and transparency in the state budget execution process. The author examines various scholarly definitions of budget transparency (Premchand, Hood, OECD, Ott, et al.) and interprets it as the process of providing the public with complete, accurate, and timely information on government financial activities and decision-making processes.

The study provides a detailed explanation of the four key institutional functions of a transparency system: information dissemination and standardization, monitoring and evaluation, establishing accountability, and integrating civic participation. Furthermore, it clarifies the economic and institutional foundations of budget openness through theoretical approaches such as public trust theory, the principal-agent model, and cost-benefit analysis, highlighting the role of the legal framework, standardized information formats, and digital infrastructure.