The Development of the Concept of Fiscal Space in a New Look at Fiscal Policy

In the context of global challenges, it is crucial for the state to strike a balance between addressing operational tasks and funding strategic priority programs on a long-term basis. When implementing fiscal stimulus policies, the free fiscal space becomes the source. The concept of fiscal space can be revealed through different approaches to its definition and assessment, such as through indicators of public debt. High levels of public debt can limit a country's ability to pursue macroeconomic and financial stability and restart economic growth after a recession. The scientific importance of the study lies in the systematic organization of theoretical approaches to understanding the content of fiscal space in terms of indicators of public debt. The practical significance of the study resides in the potential to choose different methods for creating and assessing fiscal space. This study highlights the tools for managing fiscal space, factors that contribute to its formation, and mechanisms for adjusting fiscal space.The value of this research lies in its ability to provide a systematic understanding of the concept of "fiscal space", in conjunction with indicators for assessing debt sustainability, as well as strategic planning, the implementation of program targets, and tools for managing budget expenditures.

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