Аннотация: The article considers performance budgeting as a method of budget planning, carrying out and control, which provides distribution of budget resources according to aims and functions. Performance budgeting is especially relevant in the context of the economic crisis, when the most urgent problem is getting the maximum economic and social result while reducing budget financing. The author analyses the advantages of performance budgeting and its value in organization of budget process within the bounds of medium-term finance planning. The changes that need to be made in the organization of the budgetary process in the Uzbekistan in the transition to performance budgeting are noted.
Great attention is paid to weak sides of performance budgeting, as to limitation of this model.
The most important limitation is the inability to cover the solution of all costs management tasks, because the quantitative assessment of costs cannot always be directly related to the result in many socio-economic spheres. It is noted that at the sub-federal level of the budget system, in order to implement performance budgeting, it is necessary to develop approaches to determining indicators of the effectiveness of providing public services at the regional and local levels, and to develop mechanisms for the practical application of these performance indicators in budget planning. At the same time, it is important to clearly identify the intermediate results and the final social results of the regional and local authorities in this fiscal year. Attention is focused on the need to strengthen the revenue base of regional and especially local budgets in the Uzbekistan.