Regional Development Funds: Creation Rationale and Models of Operation

Abstract

Abstract Subject and purpose of work: The purpose of the article is to present the creation of Regional Development Funds (Regionalne Fundusze Rozwoju - RFR) in Poland, their organisational models and factors influencing their development and choice of model. The research is also focused on the analysis of the variety of RFRs and their sources. Materials and methods: The research collects and presents data on RFRs operating in Poland, and analyses these data in the context of selected legal and administrative conditions. Results: The analysis showed significant variation among RFRs in terms of functional/ organisational models and scale of operation. The choice of an operating model for an RDF is influenced by factors such as the maturity of regional financial markets, the amount of RDF funds and the types of financial instruments offered. Conclusions: The study highlights the development of the financial market segment working with local authorities and businesses over the past decade. It draws attention to an increasing importance of financial instruments and institutions in development policies implemented by voivodeship governments.