Socio-economic implications of the voluntary association of territorial communities at the administrative and financial decentralization final stage and the expected reformatting of the administrative and territorial structure of Ukrainian regions create favorable conditions for the growth of cities’ economic power and their role in the development of regions and the country as a whole. It is worth noting that without strong regional centers it is difficult to develop strong regions. The main purpose of the article is to determine the features of the impact of administrative and financial decentralization on changing the cities’ positioning in the Carpathian region’s socio-economic system, as well as to outline the perspective directions of their development in the new administrative-territorial and financial system of Ukrainian regions. In particular, the article outlines the main reasons that cause the low activity of cities in the region during the implementation of administrative and financial decentralization in 2015-2017. The potential threats to the spatial development of the Carpathian region cities as a result of administrative-territorial and budgetary system reformatting are highlighted, as well as possible ways for their effective settlement are defined. The features of the cities’ positioning in the economy of regions and districts as administrative and financial decentralization result in 2015-2017 convincingly testify that the Carpathian region centers and cities of regional significance are those “centers of growth” that most actively influence the process of socio-economic development in their areas, including due to the benefits of fiscal decentralization. In the long run, uniting around the cities of regional significance and effective cooperation of regional centers with neighboring united territorial communities can intensify the process of urban development, open up opportunities for balancing the interests of these cities as growth centers and suburban territorial communities interested in improving the quality of their inhabitants’ life. 

administrative and financial decentralization, united territorial communities, cities of region significance, city positioning, financial capacity 

This article has revealed the peculiarities of the influence of the oblast city centers on the endogenous regional development by way of an analysis of the basic local potentials of urban economy, as well as brought to light the main problems of the mobilization of endogenous resources. The current urbanization trends in Ukraine have been estimated within the context of providing endogenous development, and the main obstacles to the realization of the scenario of endogenous development have been identified: demographic, economic and institutional ones. The development of the oblast city centers has been analyzed according to their key indicators, the comparison of the results of urban and regional development during the years 2010-2016 has been carried out, the indicators of the elasticity of the growth rates of the city and oblasts have been calculated, conclusions on ensuring the positive impact of oblast centers on their own regions and the reasons for their absence have been made. The measures towards the effective use of local resources, the reduction of social stratification of the population, providing them with a wider access to basic services have been proposed. The implementation of a new development policy of urban centers as hubs of economic activity will contribute to the cities’ endogenous development, to the increase of their global competitiveness. 

endogenous development, urbanization, cities-oblast centers, regional development, coefficients of elasticity