Investment Potential Of Regions Research Articles

Regional investment potential as a factor in achieving technological sovereignty in key sectors of the Russian economy

Aim. To develop a model of interrelation of factors and tools for increasing the region’s investment potential, aimed at accelerating the processes of achieving technological sovereignty in key sectors of the Russian economy by increasing the efficiency of regional investment policy on its basis.Objectives. To study the main approaches to understanding the essence and role of technological sovereignty; to group the key factors and tools for managing the region’s investment potential, to give their generalizing characteristic; to develop an algorithmic model of the relationship between factors and tools for increasing the region’s investment potential; to identify the main discussion aspects in understanding the essence and objectives of managing the level of investment potential of the region and technological sovereignty of the national economy.Methods. The principles and approaches of general scientific methods of scientific cognition: historical, logical, comparison, dialectical, system approach, structural-functional analysis, qualitative analysis and synthesis served as the methodological basis of the research.Results. Purposeful management of factors of the region’s investment potential allows to use its objective and potential advantages as an object of investment investments more effectively. In this regard, it seems reasonable to use a complex algorithmic model of interrelation of factors and tools to increase the investment potential of the region. The model proposed by the authors includes three groups of factors and related tools for the analysis of investment potential, as well as a block of generalizing tools for its comprehensive development. Technological sovereignty in modern conditions to a greater extent acquires the role of an effective protective mechanism of national identity and subjectivity for the states facing the problems generated by the external environment. The task of ensuring technological sovereignty today is a rational response to the rapidly changing world order, in which opportunities for free trade and international cooperation are no longer guaranteed in equal proportions to the countries concerned, which becomes a significant factor in their global vulnerability; it is an opportunity for more active development of national scientific and production potential, which will contribute to a relative equalization of the existing imbalances in the levels of technological development with the international community; is the first priority need to take into account long-term systemic effects, rather than current economic benefits, when making decisions on the conscious rejection or priority development of certain competencies, technological niches, types of production at the national and regional levels.Conclusions. High dynamism due to fierce competition in the technological sphere requires from federal and regional government bodies systematic systematic work aimed at ensuring a high level of investment attractiveness of key sectors and segments of the economy. Strengthening the role and attention to the issues of investment policy management due to the achieved level of investment potential both at the level of individual regions and industries, and the country as a whole, is now associated not only with current economic interests, but also with the strategic priorities of national identity and preservation of statehood. At the national level, it is necessary to form and regularly adjust the list of critical products and technologies, key industries that require continuous development while maintaining a leading rate of investment in research and development in order to create demanded and competitive products and services on their basis.

Model for assessing the investment attractiveness of regions

In this paper, a comprehensive model for evaluating the investment attractiveness of regions is presented. This model incorporates the influence of key indicators of investment attractiveness on investment risk, enabling robust assessments of regional investment potential. By considering the interplay between investment attractiveness and risk, this model offers valuable insights into the overall investment landscape of different regions.

Rating of Investment Potential of Regions and Their Digital Profiles

Rating of Investment Potential of Regions and Their Digital Profiles

INVESTMENTS IN THE SYSTEM OF SOCIAL AND ECONOMIC SECURITY FACTORS AND RECOVERY OF THE UKRAINE REGION ECONOMIES

Abstract. The article is devoted to the regional peculiarities of the investment activity in Ukraine as a factor of social and economic security in martial law conditions and in the reconstruction period. The article aims to determine the features of the investment potential of Ukraine regions based on indicators of investment activity in the pre-war period, as well as the need to restore and develop the socio-economic infrastructure that was destroyed during Russian aggression. In preparing the article, methods of desk research, analysis, synthesis, and comparison, statistical methods of dynamic analysis, multidimensional ranking, and integral evaluations were used. Information sources for the investment activity assessment in Ukraine are systematized, considering the regional context and restrictions on disseminating data in wartime conditions. The main sources for statistical analysis of investment activity in Ukraine are state statistical surveys in the form of reporting and questionnaires of enterprises conducted by the State Statistics Service of Ukraine and the National Bank of Ukraine. Additional data producers on Ukraine’s investment climate are state and non-state analytical centers and other institutions, including the Ukrainian Business Association. An analysis of investment activity in the regions of Ukraine in the pre-war period was carried out based on indicators of capital and direct investments. Conclusions are formulated regarding the features of the regional distribution of investment potential indicators, considering the destruction of the socio-economic infrastructure in connection with Russian aggression. Critically important for the socio-economic security of Ukraine is the preservation of the investment potential of the regions that form the country’s industrial potential and can ensure the modernization of the real sector of the country’s economy. To develop regional programs for the recovery of Ukraine and attract investments for their implementation, creating an aggregated database on the scale of destruction and other material damage caused to each region of Ukraine in connection with Russian aggression is of great importance. Keywords: investments, investment activity, socio-economic security, regions of Ukraine, economic recovery, indicators of investment activity

СОВЕРШЕНСТВОВАНИЕ МЕТОДИКИ ОЦЕНКИ ИНВЕСТИЦИОННОГО ПОТЕНЦИАЛА КАК ОСНОВЫ ФОРМИРОВАНИЯ ПОЛИТИКИ УСТОЙЧИВОГО РАЗВИТИЯ РЕГИОНОВ

The investment attractiveness of the region is a key factor determining the success of economic development and attracting investments. In order to develop the strategic decisions in the field of investments, methods for assessing the investment attractiveness of regions are being developed and improved. This provides a more objective and comprehensive assessment of the development potential, risks and prospects, helps to attract the necessary resources and create a favorable investment environment. This article examines modern methods of assessing the investment attractiveness of the region, identifies their features, advantages, and limitations. The authors analyze the implemented approaches to assessing the investment potential of regions using the methods of the rating agency “Expert”, the Agency for Strategic Initiatives, the National Rating Agency, identify and evaluate their strengths and weaknesses in a comprehensive assessment of the investment potential of the region. The analytical basis of the study is reports on the investment attractiveness of the regions according to these methods. This allows us to form a comprehensive understanding of the effectiveness of using these tools in the practice of management and decision-making in the field of investments. As the study showed, in general, the methods used allow a systematic approach to assessing the possibilities of the territory and assess its investment attractiveness. But not all facilities focus on the principles of sustainable development and their consideration in investing, which is a weak side, reducing the investment potential of the region in the long term. The researchers provide recommendations that will allow considering the factors of sustainable development in the assessments and increase the investment attractiveness of the regions in the long term.

Simulation of the development of the resource potential of the regional spatial-economic system under the conditions of the state of war and post-war recovery

Russia's war against Ukraine continues to deepen the processes of the global crisis caused by the COVID-19 pandemic. Violation by the aggressor country of all international rights and norms aggravates Ukraine's humanitarian and ecological disaster. At the same time, there is a threat to food security in the economic sphere of regional spatial and economic systems. Ensuring the formation of sufficient resources for restoring the economy of spatial-economic systems in martial law and post-war reconstruction remains a problematic issue. Therefore, creating models of forming spatial-economic system component resources and modeling behavior under different conditions is quite relevant and timely. The article's purpose is simulation modeling of developing the regional spatial-economic system's resource potential in martial law and post-war reconstruction conditions. Modeling of improving the efficiency of the use of the possibility of small business in ensuring war economic recovery was carried out, using a multifactorial dynamic model, the use of which allows determining the degree of influence of the effectiveness of the use of its constituent elements (labor, material, and technical, financial, innovative and infrastructural potential) on the leading indicators of post-war recovery, which makes it possible to identify the features of these components and allows them to be adapted to increase the efficiency of its use. The sustainable regional agricultural production model based on resource-saving and environmental protection technologies in martial law and post-war reconstruction is substantiated. Modeling of the post-war restoration of the tourist and recreational potential based on the development of aquaculture has been implemented, which allows determining the possibilities of the synergy of the restoration of the tourist and recreational potential on the main principles (ecosystem preservation, economic efficiency, and development of regional management) and integration processes, determining promising results for all subjects management Simulation modeling of the development of the regional investment potential in the conditions of martial law and post-war reconstruction was carried out. Keywords: simulation modeling, resource potential, regional spatial-economic system, martial law, post-war reconstruction

Application of mathematical statistics methods to assess the investment potential of the region

Since each subject of the Russian Federation has full rights to conduct both interregional and international economic relations, the indicators of regional development largely depend on the investment strategy being implemented, including the level of investment potential. In this regard, the article deals with the urgent task of assessing the investment potential of the region based on socio-economic indicators using mathematical statistics, which allows us to obtain objective and reliable results, and also ensures the scalability of the methodology used and the possibility of its application to analyze the investment potential of other regions of the Russian Federation. Correlation and regression analysis was used, a linear regression model was studied for multicollinearity. The use of multidimensional statistical analysis of the investment attractiveness indicators of the Orenburg region allowed us to identify the most significant factors influencing the volume of investments in the fixed capital of the region, which include: the amount of work performed by the type of economic activity "Construction"; average per capita monetary income of the population; the volume of manufacturing production; the proportion of the working-age population in the total number. Based on the results of correlation and regression analysis, it is concluded that the level of investment in fixed assets of the Orenburg region is most significantly influenced by such areas of economic activity as agriculture, mining and manufacturing. Attracting investments to the identified sectoral priorities of the investment attractiveness of the Orenburg region will ensure the creation of high-performance places in the region, increase the gross regional product, and also give a multiplier effect for the development of other activities.

ИНВЕСТИЦИОННЫЙ ПОТЕНЦИАЛ И ЕГО СОСТАВЛЯЮЩИЕ

The main problem of investment policy, such as the search for sources of financing, is considered. Currently, there are quite a few potential options for attracting investment in regional investment projects, but it should be noted that not all of them can change the situation in the region. One of the main indicators determining the investment attractiveness of the territory is the investment potential of the region. The investment potential can be considered as a cumulative possibility of non-permanent industry resources that will increase the capital-labor ratio and the ability of economic entities operating with reserves of these resources to provide sustainable economic income over time. The regional investment potential includes the combined ability of own and attracted economic resources to the region to ensure, in the presence of a favorable investment climate, investment activities for the purposes and scales determined by the economic policy of the region. The concept of investment potential is considered in combination with investment risk and climate. In other words, all three components are considered together, and not each separately. With proper analysis, the investor receives information about how profitable this or that investment will be, that is, he creates a promising forecast of his income. In addition, a reasonable investor will not take unnecessary risks by acquiring assets without a preliminary assessment. Under the concept of "investing" we consider a strategic financial process, we focus the attention of society on setting tasks and goals that can determine the versatility of investment processes. The socio-economic importance of investments for determining a unified approach and economic content is shown. Measures are proposed to ensure an increase in the effectiveness of the implementation of the investment policy of the Republic of Tatarstan.

Integrated Reporting, Sustainable Development Goals and the Role of Regional Information System

Purpose: The purpose of this research article is to assess what information should be connected and how its information can be connected based on integrated thinking fit within integrated reporting <IR> into information system of regional investment potential (ISRIP) of regional government. To develop insight into how it can be implemented over changes of investment climate due to the top down pressures to fulfill sustainable development goals (SDGs). Design/methodology/approach: we conducted research for regional governments (province/district/city) in Indonesia with investment characteristics of the potential, priorities and opportunities of regional investment units by taking samples for 100 regional investment units. Measurement used nominal scale with chi-square test for goodness of fit to get the measurement of observation frequency (OF) and compared with the expected frequency (EF). Findings: the measurement results showed observed frequency (OF) with a value of 137.97. Afterwards, for expected frequency (EF), with degrees of freedom (6-1) (7-1) and a significance level of 0.05, within the chi- square showed the value of 43.77. Due to OF > EF, this result indicated for being of corresponding between integrated thinking of regional investment within implementation of information system of regional investment potensial (ISRIP). The level of integrated thinking relationships with integrated reporting <IR> in the role of 'ISRIP' has a Pearson contingency coefficient of 0.4057, as a moderate relationship. Originality: This research article contributes to the growing debate about the benefits of integrated reporting as a voluntary reporting initiative, and in which another organization have adopted <IR> as a mandatory initiative for the mode of reporting up to date; more specifically, in the efforts of regional governments to adopt an integrated thinking that is in line with the role of an integrated reporting system, in communicating of regional investment units. Practical implications: To be as an early adopter of <IR> reporting practices towards the implementation of the information system of regional investment potential (ISRIP). We imply that the six capital <IR> with strategic communication will enhance performance of ISRIP, through fundamental way and as regional strategic wisdom. To meet the values of accountable organization within regional investment units' management. In line with national alignment in global megatrends with the sustainable development goals (SDGs) accomplishment.

Factors affecting regional investment potential

The article examines the content of the process offormation of investment potential in industry in the regions and the factors in it. In the context of market relations, the investment potential of the enterprise means that it can adapt to the changing market environment, and in most cases, to market conditions, and achieve sustainable economic growth in this area. The practical existence of investment potential at the macro and micro levels is determined by a system of indicators and criteria. These indicators characterize the trends of economic processes in the enterprise, the extent to which the course of processes is determined by the existing factors, as well as the consequences of the impact offactors.

Influence of Regional Investment Climates on the Development of the Bond Market

ABSTRACT This article reviews methodological approaches for a quantitative assessment of the influence of investment climates on regional bond markets. In turn, this assessment looks at how elements affecting the quality of investment climates influence the realization of regional bond markets and their potential for growth in the federal okrugs of the Russian Federation (RF). This article also describes a mathematical model of bond markets, which includes parameters depicting the investment climate’s effect on regional investment potential. With this, it presents quantitative analyses of the parameters affecting the investment climate. These analyses were obtained based on the regional ratings of the leading Russian analytical expert agencies. In addition, the article provides an assessment that uses this model to show the dynamics of the bond market in a regional context. Finally, it makes conclusions about the RF bond market’s potential for growth and the measures required for this growth.

The Assessment of Regional Investment Potential with Subject to Non-Observed Economy

The article outlines the author’s method of assessing the investment potential of a region’s economy by institutional sector: financial corporations, non-financial corporations, households, and the government, as illustrated by the case of the regions constituting the Far Eastern Federal District of Russia (hereinafter FEFD). The author attempts to extract the nonobserved (shadow) economy component from the institutional sectors. An algorithm has been designed for determining the forms of funding investment needs at a regional level.The research methodology employed by the author is based on the economic and statistical method, computational and constructive method, and comparative analysis.The proposed method has made it possible to present the investment potential of the FEDF in the context of institutional sectors with an emphasis on the shadow economy; to assess the amount of unutilized investment resources in the district; to calculate the level of realization of the district’s investment potential; and to determine that the investment opportunities available in the region are not taken full advantage of. Using the proposed algorithm, the author has identified the constituent regions of the FEFD that are capable of funding their development with their own investment resources, and the regions that require government support that may extend as far as co-financing investment.The methods and tools presented in the research can be applied by government bodies for the sake of a more consistent and rational approach to developing regional economic policy as regards investment strategies and development programs for regions, administrative decision making that matches the present-day conditions, and more effective spending of public investment resources.

ECOLOGICAL AND ECONOMIC EVALUATION ALGORITHM OF THE REPRODUCTION OF REGIONAL INVESTMENT POTENTIAL

The influence of environmentally caused investment losses on the value of the regional investment potential according to the phases of reproduction is investigated. The necessity of ecological and economic evaluation of reproduction of regional investment potential is proved and a corresponding evaluation algorithm is developed. The authors proposed the approaches to ecological and economic evaluation of reproduction of regional investment potential. These approaches can determine cost value of the regional investment potential taking into account environmentally caused investment losses. The results of this paper can help to solve management problems in the investment area.

Methodological Framework for the Evaluation and Analysis of the Potential of the Electric Infrastructure of Russian Regions

The article is devoted to the analysis and evaluation of the potential of the electric structure of Russian regions. The authors introduce the category of the “potential of electric infrastructure†understood as the integrated indicator characterizing the regional power infrastructure. The authors assess the potential of electric infrastructure on the basis of the proposed methodology and the developed indicators: “the ratio of electricity tariff†, “coefficient of technological connection†, “integral coefficient of electric infrastructure potential.†The article presents the results of testing the developed method on the example of the analysis and evaluation of the characteristics of electric power infrastructure of Russian regions. The result of testing was the construction of a rating of regions by the level of electric infrastructure potential. On the basis of the calculated parameters of electric infrastructure potential, we developed a map and a matrix of indicators of the potential of electric infrastructure of Russian regions. This allowed to classify Russian regions to several groups. The practical value of the map and matrix of the potential of electric infrastructure of Russian regions is the possibility to conduct the comparative assessment of the characteristics of the electric infrastructure of the territorial units and enables more informed management and decision-making concerning the choice of the most effective industrial investment. In addition, based on the developed indicators of electric infrastructure potential, the authors propose the improvement of the existing methods for the evaluation of investment potential of Russian regions. Previous research on the investment potential of regions does not take in account the characteristics of the potential of elecrtic infrastructure. The obtained results are of a theoretical and practical importance and can be used for the energy efficiency management of territorial units as well as for the analysis of the potential of electric infrastructure of possible industrial investments with the aim of increasing it.

MONITORING MECHANISM FOR INVESTMENT DEVELOPMENT OF REGIONS’ INFRASTRUCTURE

The subject of the research is the theoretical and methodological principles of the monitoring mechanism of investment development of regions’ infrastructure. The objectives of the research are the generalization of theoretical and methodological bases of monitoring mechanism of investment development of regions’ infrastructure, as well as analysis of the current trends of investment development of the infrastructure in the regions of Ukraine with the identification of positive and negative trends. Methodology. The article deals with theoretical and methodological approaches to the definition of conceptual foundations of the mechanism of monitoring the investment development of the regions’ infrastructure with the help of general scientific methods of analysis: systematization and generalization, induction, and deduction. Results. It is proposed to interpret a monitor of the investment development of the regional infrastructure (IDRI) as a systematic and complex measurement of the indicators of regional infrastructure development, the number of implemented investment projects, monitoring compliance with the developed strategic regional programs and concepts, which will ultimately help to effectively and efficiently regulate the detected deviations and passing the appropriate decisions. The IDRI monitoring mechanism should also provide a possibility of creating a system for collecting and analysing data concerning the assessment of infrastructure objects by the territorial community, which will allow potential investors to focus not only on analytical data on monitoring of regional authorities but also to take into account the public interest in a particular region. The general principles of the monitoring mechanism of investment development of the regions infrastructure are proposed in the following directions: complex and system monitoring and data collection concerning the development of the regions’ infrastructure, while the aggregate of indicators should reflect the change in the level of investment potential as a result of the implementation of measures and implementation of investment projects for the development of regions’ infrastructure; assessing the level of effectiveness of regional infrastructure functioning, using comparative analysis procedures – the concept of benchmarking, which will allow reducing costs of improvement processes accordingly, as the best experience of management of other territories is studied and evaluated in order to use the acquired knowledge in the activities of the authorities. Conclusions. The researched theoretical and methodological principles of the monitoring mechanism of the investment development of the regions’ infrastructure enable to substantiate the necessity of implementation of complex and system monitoring of the functioning of the infrastructure complex and the investment potential of regions. The researched tendencies of investment development of the Ukrainian regions’ infrastructure allowed establishing significant spatial asymmetries, which negatively affects the implementation of both national development strategies and regional programs and concepts. Thus, the main directions of the monitoring mechanism of the investment development of the region’s infrastructure in the composition should be based on analytical observation not only of the regional authorities but also potential investors and the territorial community. Practical meaning. On the basis of official static monitoring data of investment support and the level of development of the infrastructure complex of Ukrainian regions, trends of investment development of the regions infrastructure are investigated in the article, which allows noting about significant territorial imbalances as a level of investment support, as well as the efficiency of the functioning of the regions infrastructure complex, and this determines the need for the development of comprehensive regional development programs and proper control over their implementation in relation to investment regional infrastructure support. The system implementation of the mechanism for monitoring over the investment development of the regional infrastructure will facilitate the adoption of effective management decisions for all participants in the process, namely, the territorial community, investors, and regional authorities, which will increase the investment attractiveness of regions and the development of the Ukrainian regions’ infrastructure.

Investment climate as a factor of social and economic development in regions of the Russian Federation

In this article, the authors attempt to view into the notions of investment potential, investment climate and investment activity, as well as to analyze investment attractiveness of modern Russia due to its place in different global ratings. We also analyze the operation of regions in the situation of sanction restrictions, the amount of direct foreign investments into different enterprises on the territory of the country. We evaluate investment potential of regions in Central Federal District for eight indicators and give recommendations for increasing investments to the regions, which is to provide a higher level of adaptability of development strategies in the dynamic and complex economic environment.

Procedure for Regional Investment Potential Assessment by Institutional Sectors of Economy

Background/Objectives: The article is aimed to develop and substantiate the author’s procedure for assessing regional investment potential by institutional sectors: investment potential of financial and non-financial corporations, households, public administration. Methods: The research is based on the problems of determining the amount of unused investment resources of the Far Eastern Federal District, as well as on evaluation of all components of the investment potential of this region and distinguishing its problematic elements. The research methodology includes the economic-statistical, computational and constructive method and comparative analysis. Findings: The provided procedure has allowed assessing the total investment potential and its individual elements in the Far Eastern Federal District; the level of its use was also evaluated. It is noted that in the FEFD territory the resources financial corporations are a key element of the total investment potential. The study revealed that FEFD has high reserves of unutilized investment resources, enabling, in the case of their use, to increase significantly GRP of the region. The study showed the applicability of the procedure for investment potential assessment by institutional sectors at the regional level. The proposed procedure allowed showing the FEFD investment potential in the context of institutional sectors, identifying the shadow economy; estimating the amount of unutilized investment resources of the District; calculating the level of FEFD investment potential use and determining that the available investment opportunities are not used fully in the region; determining the change in the economic indicators of the District, taking into account the involvement of the entire total investment potential of the territory. Application/Improvements: The proposed procedure will enable to pursue a competent investment policy, providing a constant inflow of investments with the greatest possible involvement of investment potential of the territory.

Prospective Mechanisms of Peripheral Areas Investment and Innovation Potential Formation

In this study conducted a comprehensive study of investment and innovation processes in conjunction with the problems of balanced economic development mesa-level, modify the basic economic proportions and the speaker on the one hand, the factor, and the other - the result of a regional self-development and interregional cooperation, is of particular relevance is the backbone target benchmark regional social and economic policy. A very need innovation-oriented development of the regional investment potential of paramount importance for Russia as a whole, and for its regional components, the prospects of dynamic development which largely involve the presence of an effective, articulating the functional components and hierarchical levels, the mechanism of activation of innovation-oriented investment and support of innovative activity of economic entities. Last in the current economic realities becomes as important competitive advantage and sustainable operation of the main factors of economic and reproductive system of the region. The effectiveness of the efforts and actions towards the formation of a favorable investment environment and innovative qualities of the regional economy, which are understood as its ability to self-renew, change adaptation and generation of scientific and technological progress, sustainable development, production and maintenance of its competitiveness in the long term, depends not only on the available resource capabilities as the availability and effectiveness of regional investment mechanism regulating and coordinating the development of innovative sphere of the region.

Assessment and Management of Factors of the Regional Investment Potential

The article is devoted to the questions of the territory investment potential valuation. It is the valuation system ofdistinctions in territories characteristics and their comparisons that are especially actual and necessary forinvestors as territories differ in labour, financial, natural and other resources, and various conditions created forinvestors by governing bodies. The article suggests the solution of this problem by calculating a total evaluativeindicator, that is, territory investment potential. The authors of article present the analysis results of a number ofvarious valuation techniques of investment potential, and mark the main advantages and disadvantages ofexisting approaches and valuation techniques. In the article the author's technique of valuation of territoryinvestment potential is suggested. It is based on the analysis of factors influencing investment potential. Thetechnique takes into account inflationary, political and social risks because stable political, economic and socialsituation is important for an investor. On the basis of the technique developed by the authors investmentpotential of a separate territory was calculated and forecasted.

Investment Potential of Subjects of the Volga Federal District of the Russian Federation as a Factor of the Territorial Development

Evaluation of the investment potential of various regions of Russia is an important tool to determine the quality and effectiveness of management areas. The attractiveness of the region for investors is one of the key factors of territorial development. One of the most important tasks of the state and regional authorities is to counter the outflow of capital abroad and the creation of a favorable investment environment. The level of investment is one of the key indicators used by national authorities to assess the quality of regional governance. Integrated assessment of the investment potential of the regions of the Volga Federal District of the Russian Federation have been allocated seven subspecies potentials within each of them have been identified particular indicator. DOI: 10.5901/mjss.2015.v6n1s3p322