SUMMARY
The purpose of the article is to substantiate the essence and structure of corruption as a separate institution in an institutional environment that has a deviant, anti-social orientation. To describe the influence of informal institutions on corruption in Ukraine. To propose constructive proposals for the use in domestic practice regarding the mechanism of overcoming corruption, which in the future will bring Ukraine to sustainable economic development. Methodology. The study we conducted is based on a systematic method that considers all elements of corruption in unity and development. The research used the following general scientific methods of scientific knowledge, namely: the method of analysis (means of combating corruption); synthesis (generalization of the main causes of corruption in Ukraine); method of induction (the impact of corruption on society); the method of hypotheses (when building a mechanism for overcoming corruption); and empirical method (own observations of the author on the situation in the state). Results. Corruption in Eastern Europe is a consequence of the spiritual, economic, and political crisis of society. Corruption demoralizes citizens and destroys their trust in the state. The mechanism of overcoming corruption is considered from the standpoint of neo-institutionalism. The author stresses that corruption is an informal institution. The system will start to change after the state’s economic development, and the main condition is the promotion of culture, which makes it impossible for an institution to be corrupt. To act and start such propaganda should be the education of future generations. Investing in education will raise its level, give a new class of professionals who will go to work in private business and government. Worthy wages will make you think about the desire for easy profit. The author conducts a qualitative analysis of corruption through methodological tools of neo-institutionalism. It is proved that the fight against corruption at all levels exists as a complex hybrid of institutional mechanisms of regulation, the impact of which primarily affects informal institutions, and then formal ones. For example, the purpose of a bribe is to obtain a profitable contract. A bribe is an informal institution that is an agreement between an official and a citizen. But a contract signed with a bribe is a formal document (legal). As a result of such corruption actions, formal institutions are not violated but act as a means of implementing informal arrangements. Practical implications. Taking into account the historical, economic, and mental component of Eastern European countries, analysing the foreign experience of the countries, the formation of a national idea in the subconscious of the society, which will be aimed at building the state, should come to the fore. It is necessary to break down stereotypes, raise confidence in power and law. Such measures are possible only through the reform of education, the upbringing of young people in the personal negative attitudes to corruption. An active civil society that supports various strategies aimed at reducing corruption. Sanctions are important, so punishing corrupt officials is an important part of any effective anti-corruption effort. Therefore, the Criminal Code of the country should clearly indicate the responsibility for any manifestation of corruption. The mass media must conduct a serious information company: report on detention and investigation and display social advertising (not as a part of a political advertisement). Value/originality. The influence of informal institutes on corruption in the eastern part of Europe is substantiated and the mechanism of its overcoming is proposed, the use of which will ensure the gradual economic development of the state.