Types of Financial Relationships

Any financial relations are objective in nature and arise in connection with the need to meet the needs of social production. All kinds of financial relations are mediated by a financial mechanism.

Forms and types of financial relations at this stage of the development of society are characterized by a rather wide variety, which is explained by the constant complication of economic ties and the increasing influence of the state on the course of the economic process.

Financial management is a targeted impact on them from the subjects of management. In this case, management objects are different types of financial relations that form the financial system. The subjects of management are the bodies of financial management (the so-called financial apparatus).

Management of financial relations is made on the basis of a financial policy that is multifaceted in content and directly related to the activities of business entities in the implementation of their economic interests.

Finance in the system of monetary relations is associated with the credit, price and other spheres. The main task in the development of financial relations in Russia is related to the need to strengthen the foundations of the economy, strengthen democratic principles in the social sphere and strengthen the state in the management of financial processes.

Financial relations are formed in all sectors of the economic life of society at the stage of cost distribution. Different types of financial relations exist, first of all, between citizens and economically independent units of management with the state (payments to the budget and extra-budgetary funds, budget financing). In addition, financial relations exist between the state and acting as its creditors in the domestic and foreign financial markets by organizations. Relations between government and self-governing bodies in the provision of mutual financial assistance are also financial relations. This category includes the relations of economic entities regarding the payment of fines, penalties, fines, between enterprises and employees when paying salaries, material assistance, etc.

All types of financial relations form a unified system of finance for the country. Since financial relations mediate the movement of capital, income and other cash assets of enterprises, then on this basis they can be divided into several groups. These are the relations of enterprises with the state, other enterprises (counteragents), financial intermediaries (currency, stock exchanges, banks, insurance companies, etc.). Within the enterprise itself (between structural units and personnel), within individual associations, organizations, between enterprises and investors (participants, shareholders, owners).

The state in many respects promotes a variety of relations in the sphere of finance, developing new forms of their use. They are established in accordance with the main tasks for the development of the country's economy at this historical stage.

Financial relations are necessary for the objective development of economic relations and are the main instrument for implementing state policy in the sphere of financial relations.

For all types of financial relations, some common properties are characteristic, allowing them to be classified as separate groups depending on whether they participate in social reproduction, carry out its insurance protection or ensure the conduct of state regulation of the economy and the social sphere. Under such groups are understood the spheres of relations that mediate the functioning of economic entities, municipal and state administration, insurance.