ABSTRACT
The Article explores the sources of formation of assets owned by development institutions that are aimed at the advancement of the tourism industry. It examines the problems of development institutions corporatization and public funds allocation. It puts forward the measures coming from the changes in the Russian laws to ensure that financial resources of development institutions are generated and used in a transparent way. This paper contains recommendations for further reform of the public funding system by imposing legislative requirements for reporting on the effectiveness and appropriate use of budget spendings.
