Abstract From the subjective point of view, public finances can be divided into central and local government. Local government finances are local and regional finances. However, a question arises whether, when considering the areas of public funds management and wanting to indicate their specificity, this branch is sufficient. It seems that it is not, because it is important to take into account institutional and content-related criteria. From the point of view of these criteria, it should be pointed out that the most important institution of public finances is the budget of both the state and local government units. On the other hand, in the substantive area, the most important phenomena from the point of view of their effects, such as the budget deficit and the State Treasury debt, should be mentioned. Keywords: new public management, public administration, efficiency, rationality, process economisation