CONCEPTUAL MODEL OF INNOVATIVE ECONOMIC DEVELOPMENT

The article emphasizes that Ukrainian government must choose the way of widespread innovation and building a competitive state. Increasing the competitiveness of Ukraine is possible only providing the establishing of innovative development mechanisms and technological improvement of the national economy. The main obstacles of Ukraine's transition to an innovative model of development have been identified. Innovation processes in the economy have not gained significant scale, the number of enterprises implementing innovations is decreasing every year and today is 12-14 %, which is 3-4 times less than in innovative economies countries. It is concluded that the intensive development of innovation in modern conditions provides a basis for sustainable economic growth, which provides an opportunity to argue about the innovative type of economic development in contrast to the stagnant, evolutionary, extensive. The course for innovative development in Ukraine determines the transition of the economy to a new qualitative state. It is proved that in the current crisis situation in Ukraine, there is a problem to develop a model of sustainable economic growth, the solution of which will be the basis for a qualitatively new type of economic development. The qualitative characteristic of innovative economy and principles of its full-fledged effective functioning are resulted. The current system and level of financing of innovation activity in Ukraine, which requires both qualitative and quantitative changes, introduction of state and non-state financial methods aimed at intensification of innovation activity are analyzed. The necessity of transition to the innovative economy has been substantiated, which will give an opportunity not only to bring Ukraine's economy out of crisis, but also to accelerate economic growth, which will ensure further stable socio-economic development of society. A conceptual model of innovative economic development is proposed. The role of State innovation policy in Ukraine is defined, which would ensure the creation of socio-economic, organizational and legal conditions for the effective reproduction, development and use of the scientific and technical potential of the country.