Subject The paper conducts a comparative analysis of foreign and Russian practices of initiative (participatory) budgeting. Objectives We aim to develop proposals for improving initiative budgeting in Russia based on systematization of foreign and Russian experience. We are to analyze the most important statistical data, select the most successful practices, suggest further promising directions for the development of initiative budgeting in Russia. Methods The study uses the methods of logical analysis, empirical research, such as comparison and collation. Results The analysis of the participatory budgeting practices in the world for 2010–2018 and in Russia for 2007–2018, has showed a sharp increase in the number of implemented projects in recent years. The authors identified general development trends and unique practices inherent to a number of countries. We proposed directions for improving initiative budgeting in Russia. Conclusionsand Relevance There is a wide range of challenges facing participatory budgeting. In terms of finance deficiency in public and local governments, the participation of citizens is a new key to the growth of national economy and to increase of public welfare. That is why continuous improvement of participatory budgeting is a priority for each state.
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