Sustainable public finance system

The chapter discusses the role of state and public finances in taking actions to support the implementation of sustainable development goals (SDGs). The problem of development finance is widely discussed, considering commitments to the 17 SDGs, such as ending poverty, fighting inequalities, and tackling climate change. The contribution underlines that strategies and government policies need to systemically change consumption and production patterns, encourage the preservation of natural endowments, and reduce inequality. The analysis focuses on the issue of enhancing sustainable financing strategies and investments at both regional and country levels. It highlights the need to design and implement a coherent public finance system for sustainable development. Attention is given to public-private partnerships in the implemenantation of the SDGs. Environmental taxation is presented as an instrument to influence and shape the attitudes of companies and households regarding sustainable development, particularly the role of taxes in reducing greenhouse gas emissions and removing inefficient fossil fuel subsidies. In addition, the role of public expenditure in financing investments and technologies conducive to environmental protection and social inclusion is emphasized. In brief, the chapter discusses problems and possible solutions regarding public finance that are necessary to achieve the 2030 Agenda’s SDGs.