The article is devoted to the description and analysis of factors that potentially and actually affect the socio-economic development of the state on the example of the higher education institution. It is established that at the system level the level of ensuring the quality of educational activities and the quality of higher education has a decisive influence on the formation of a positive image of a higher education institution. The results of a survey of students on the criteria for choosing

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... a university to study are presented. Statistics on public funding of education in general and higher education in particular are presented and analyzed. It is established that, despite the formally high percentage of education funding from the level of GDP in absolute terms, the actual funding is low and needs to be strengthened by attracting external funding from customers. Attention is also paid to the state of development of educational services for foreign students. In a competitive environment at the national and international level, the decisive influence on the involvement of foreign students in the university is influenced by the structure of the training program, teacher qualifications, organization of the educational process in the classroom and so on. The article on the example of a higher education institution presents the main stages of formation and development of the internal system of quality assurance of education as an object of influence on the socio-economic development of the state. The development and/or improvement of internal quality assurance systems in universities is becoming a powerful basis for increasing university funding from external (personally involved) sources, reducing the outflow of applicants abroad and the successful provision of educational services to foreign students. At this stage, given the limited opportunities for funding of educational activities by the state (compared to EU countries), the successful implementation of the university development strategy is possible provided that systematic work is done to improve the quality of educational services for domestic and foreign citizens. As part of further research, it is planned to analyze the mutual impact of the education quality assurance system on the effectiveness of scientific activities, the provision of additional paid educational services, training for external customers and other sources.