System Models and Strategies for Managing Investment and Innovation Development in the Context of Decentralisation Reform

Purpose: The purpose of the study is to investigate the relationships between the level of decentralisation, corporate governance mechanisms and investment activity in the public sector of Ukraine. Design/Methodology/Approach: The methodological basis is system-structural, comparative, and content analyses of secondary data, which provided a comprehensive study of corporate governance in the context of decentralisation. The purposive sample includes 39 scientific publications and analytical reports (2011–2025) and statistical data from international organisations (OECD, World Bank, European Commission) for 2020–2024. Research Limitation: The findings indicate a need for further research that considers regional differences and the long-term effects of decentralisation reforms. Findings: The effectiveness of corporate practices depends directly on the level of institutional autonomy, digital maturity, and partnerships between public and private actors. The proposed analytical model formalised direct and indirect connections between decentralisation, corporate mechanisms and investment activity. Fiscal autonomy and polycentric management create conditions for expanding community investment opportunities, but uneven resource bases and insufficient human resources limit their effectiveness. Practical Implication: The proposed model can support strategic planning, increase transparency in management decisions, and strengthen corporate responsibility in the public sector. Social Implication: The results contribute to sustainable regional development by supporting more effective public governance under decentralisation. Originality/Value: Unlike studies that examine these variables separately, the model shows direct and indirect links between the level of decentralisation and investment activity through corporate governance mechanisms, moderated by political stability, the rule of law and European integration, for Ukraine under martial law.