Financial Control and Financial Monitoring within the System of Government Financial Administration: Correlations and Interrelationships

  • Elena Lvovna VLASOVA Irkutsk National Research Technical University, Irkutsk, Russian Federation
  • Elena Victorovna BARASHEVA Russian State University of Justice, Moscow, Russian Federation

Abstract

This paper describes some of the terminology related to financial control, financial oversight, and financial monitoring, examines the correlation among them, and looks into the essence of and the interrelationship among these fundamental elements of financial administration. The relevance of the issue of enhancing the system of government financial control using financial monitoring and boosting its efficiency, its undoubted theoretical and practical significance, and the insufficient amount of research into it may be prompting researchers in the area of government financial administration to undertake a set of objectives resolving which should help improve the nation’s system of financial administration significantly. In contrast with financial control and financial oversight, scholarly/ theoretical research devoted to organizing and implementing financial monitoring in keeping with present-day requirements and taking account of the development of market relations is merely in its incipience at this time. The purpose of the research reported in this paper is to analyze the correlation among financial control, financial oversight, and financial monitoring as inseparably interrelated elements, as well as explore the characteristics of the distribution of functions on their implementation across the nation’s entities concerned with government financial administration. The authors provide an insight into Russia’s current statutory/ legal and organizational support for financial monitoring, its system of authorities concerned with regulating the nation’s financial sphere, and the characteristics of the organization of the system of government financial monitoring in foreign countries. Based on the findings from this study, the authors propose putting in place a single information base for the purposes of implementing government financial control and explore the prospects for interaction between institutions and the authorities concerned with administering government financial control. The authors conclude that at this time there, without question, are certain areas within the existing system of government financial control that need substantial work.

References

[1] Akbarova, Zh. D. (2010). K voprosu o gosudarstvennom finansovom kontrole [Revisiting government financial control]. http://old.nasledie.ru/schetpal/15_14/15_14_19/article.php?art=4 (accessed 18.02.2018)
[2] Arykbaev, R. K., Kashirskaya, L. V., & Karabasheva, M. R. (2017). Institutsional'nye osnovy razvitiya gosudarstvennogo finansovogo monitoringa i kontrolya [Institutional foundations of the development of government financial monitoring and control]. Sciences of Europe, 11-3, 32–37.
[3] Barasheva, E. V., & Vlasova, E. L. (2017). Kontrol'naya funktsiya finansov [Control function of finance]. Upravlenie ekonomicheskimi sistemami: Elektronnyi nauchnyi zhurnal, 11, 34.
[4] Chibinev, V. M., & Kargin, I. N. (2012). Finansovyi kontrol' i ego sootnoshenie s finansovym monitoringom [Financial control and its correlation with financial monitoring]. Mir Ekonomiki i Prava, 10, 75–82.
[5] Dement'eva, Yu. P. (2014). Ponyatie finansovogo monitoringa, osushchestvlyaemogo v tselyakh protivodeistviya otmyvaniyu prestupnykh dokhodov i finansirovaniyu terrorizma [The concept of financial monitoring implemented for the purpose of counteracting money laundering and the financing of terrorist activities]. In L. V. Rebrova (Ed.), Integratsiya nauki i praktiki: Vzglyad molodykh uchenykh: Tezisy dokladov Vserossiiskoi nauchno-prakticheskoi konferentsii magistrantov (Saratov, 7 – 8 oktyabrya 2014 g.) [Integration of science and practice: The view of young scholars: Talking points from reports presented at the All-Russian Research-to-Practice Conference of Graduate Students (Saratov, October 7–8, 2014)] (pp. 72–73). Saratov, Russia: Saratovskii Sotsial'no-Ekonomicheskii Institut (Filial) FGBOU VPO REU im. G.V. Plekhanova.
[6] Dronov, A. G., & Dimitrieva, E. N. (2017). Finansovyi monitoring kak vid finansovogo kontrolya [Financial monitoring as a type of financial control]. Aprobatsiya, 2, 157–158.
[7] Federal'nyi zakon "O protivodeistvii legalizatsii (otmyvaniyu) dokhodov, poluchennykh prestupnym putem, i finansirovaniyu terrorizma" ot 07.08.2001 N 115-FZ [Federal Law No. 115-FZ On Counteracting Money Laundering and the Financing of Terrorist Activities of August 7, 2001]. www.consultant.ru/document/cons_doc_LAW_32834/ (accessed 18.02.2018)
[8] Financial Transactions and Reports Analysis Centre of Canada (FINTRAC). (n.d.). Who must report. http://www.fintrac-canafe.gc.ca/reporting-declaration/Info/re-ed-eng.asp (accessed 18.02.2018)
[9] Flood, M. D., Lemieux, V. L., Varga, M., & William Wong, B. L. (2016, December). The application of visual analytics to financial stability monitoring. Journal of Financial Stability, 27, 180–197.
[10] Glushkov, V. M. (1964). O kibernetike kak nauke [About cybernetics as a science]. In A. I. Berg, B. V. Biryukov, I. B. Novik, I. V. Kuznetsov, & A. G. Spirkin (Eds.), Kibernetika, myshlenie, zhizn' [Cybernetics, thinking, and life] (pp. 53–61). Moscow, USSR: Mysl'.
[11] Gorbunova, O. N. (2003). Finansovoe pravo i finansovyi monitoring v sovremennoi Rossii [Financial law and financial monitoring in present-day Russia]. Moscow, Russia: OOO Profobrazovanie.
[12] Gorbunova, O. N. (2017). Problemy zakona o finansakh i proekt zakona “O finansakh” [Issues with finance law and a draft law on finance]. Gosudarstvo i Pravo, 5, 69–84.
[13] Gracheva, E. Yu., Tolstopyatenko, G. P., & Ryzhkova, E. A. (2004). Finansovyi kontrol' [Financial control]. Moscow, Russia: Kameron.
[14] Hay, D., & Cordery, C. (2018). The value of public sector audit: Literature and history. Journal of Accounting Literature, 40, 1–15.
[15] Miroshnik, S. V. (2017). Sootnoshenie finansovogo kontrolya i finansovogo nadzora: Teoriya i praktika voprosa [Correlation between financial control and financial oversight: The issue’s theory and practice]. In I. A. Tsindeliani (Ed.), Finansovyi kontrol' v sfere publichnykh i chastnykh finansov: Materialy Mezhdunarodnoi nauchno-prakticheskoi konferentsii [Proceedings of Financial Control in the Area of Public and Private Finance: International research-to-practice conference] (pp. 81–87). Moscow, Russia: RGUP.
[16] Mospanenko, I. V., & Bondarenko, I. I. (2014). Osobennosti organizatsii sistemy gosudarstvennogo finansovogo monitoringa v zarubezhnykh stranakh [Characteristics of the organization of state financial monitoring in foreign countries]. Gosudarstvennoe Upravlenie. Elektronnyi Vestnik, 46, 107–121.
[17] Nabiev, S. A. (2008). Teoreticheskie aspekty i praktika primeneniya sootnosheniya pravovogo regulirovaniya gosudarstvennogo finansovogo kontrolya i finansovogo monitoringa [Theoretical aspects and practice of employing the interrelationship between legal regulation of government financial control and financial monitoring] (Extended abstract of unpublished candidate’s thesis). Moscow State Juridical Academy, Moscow, Russia.
[18] Nutsalkhanova, O. K. (2011). Nalogovyi kontrol' kak obratnaya svyaz' v sisteme finansovogo monitoringa [Tax control as reverse communication within the system of financial monitoring]. Probely v Rossiiskom Zakonodatel'stve, 6, 330–332.
[19] Postanovlenie Pravitel'stva RF ot 30.06.2004 N 329 (red. ot 12.12.2017) "O Ministerstve finansov Rossiiskoi Federatsii" [Resolution of the Government of the Russian Federation No. 329 On the Ministry of Finance of the Russian Federation of June 30, 2004 (as amended on December 12, 2017)]. http://www.consultant.ru/document/cons_doc_LAW_48609/ (accessed 18.02.2018)
[20] Sattarova, N. A. (2006). K voprosu o gosudarstvennom finansovom kontrole [Revisiting government financial control]. Finansovoe Pravo, 1, 33–38.
Published
2018-06-30
How to Cite
VLASOVA, Elena Lvovna; BARASHEVA, Elena Victorovna. Financial Control and Financial Monitoring within the System of Government Financial Administration: Correlations and Interrelationships. Journal of Advanced Research in Law and Economics, [S.l.], v. 9, n. 4, p. 1494-1502, june 2018. ISSN 2068-696X. Available at: <https://journals.aserspublishing.eu/jarle/article/view/2861>. Date accessed: 25 feb. 2024. doi: https://doi.org/10.14505//jarle.v9.4(34).37.