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Russian regions’ investment activity ranking (H1 2019)

Invest Foresight presents the Russian regions’ investment activity ranking based on the data published on official websites of regional authorities.

Investment activity ranking broken down by industries

The majority of reports published by regional governments on their official websites concerns infrastructure, housing and utilities (37.9%). This is explainable because this industry reflects the strongest direct connection between the regional administration and local population. This includes news about roads, connection to gas distribution grids, water supply and disposal, major renovation and other projects that have aт investment or innovation component.

The agriculture industry is the second most discussed industry, which is also clear. Due to Western sanctions, state support of and private investment into this economic sector and, as a result, agricultural exports are growing – for example, in the Lipetsk and Voronezh regions, Republic of Chuvashia and several other regions.

Industrial production came third thanks to multiple projects aimed at import substitution, including with the support of the Industry Development Fund.

The share of reports on science and technology accounts for only 5% of all publications on local government websites. Yet, Invest Foresight experts suggest that the regions are involved in substantial scientific research projects, only they are not properly covered on those websites.

Large-scale construction is underway in the regions, but the regional governments’ press services publish only a few materials about development projects. The same holds true for trade and tourism.

Industry Points %
1 Infrastructure and utilities 5000 37.9%
2 Agriculture 2393 18.1%
3 Industry 2348 17.8%
4 Transport and communications 722 5.5%
5 Investment policy 758 5.4%
6 Science and technology 663 5.0%
7 Construction and real estate 632 4.8%
8 Trade and tourism 622 4.7%
9 Fuel and energy 559 4.2%
10 Mineral extraction 247 1.9%

Russian regions’ investment activity ranking

Why does Invest Foresight rank the regions in the middle of the year? Because first-quarter investment and innovation figures are mostly the result last year’s activity. In addition, the implementation of large-scale national projects began in the second quarter of this year.

Furthermore, semi-annual ranking smooths out some of the peaks that occur in the monthly rankings released by Invest Foresight and level out the information surges in individual months caused by high-profile events such as the SPIEF, the Sochi Economic Forum, or the Gaidar Forum.

In the Russian regions’ investment activity ranking (H1 2019), the regions of the Russian Federation are ranked by the number of points scored in monthly investment activity ratings.

Particularly notable is the gap of 303 points between the Lipetsk Region and the Republic of Tatarstan, ranked 1st and 2nd with 802 and 499 points, correspondingly. That said, the Lipetsk Region is ranked at the top as it properly represents the results of its investment and innovations activities on the region’s official websites. The Altai Territory, which cannot boast such vast investment potential as the ranking leaders, takes a well-deserved 3rd place, which is the result of its efficiently organized information policy.

Certain regions with high scientific innovation potential – such as Arkhangelsk, Novosibirsk, Tomsk regions and the Primorye Territory – are ranked in the lower third. This can be attributed to the lack of coordinated information policy as regards administration press services’ coverage of specific achievements in investment and innovations sector.      

Region Points
1 Lipetsk Region 802
2 Republic of Tatarstan 499
3 Altai Territory 431
4 Rostov Region 425
5 Perm Territory 416
6 Tomsk Region 394
7 Krasnodar Territory 392
8 Yaroslavl Region 345
9 Republic of Sakha (Yakutia) 332
10 Volgograd Region 317
11 Kemerovo Region 315
12 Primorye Territory 314
13 Yekaterinburg and Sverdlovsk Region 311
14 Tver Region 301
15 Ulyanovsk Region 292
16 Khabarovsk Territory 272
17 Republic of Karelia 267
18 Nizhny Novgorod Region 264
19 Tula Region 247
20 Kirov Region 246
21 Kaluga Region 231
22 Krasnoyarsk Territory 230
23 Irkutsk Region 228
24 Orenburg Region 228
25 Kaliningrad Region 226
26 Novgorod Region 221
27 Chelyabinsk Region 218
28 Kursk Region 214
29 Belgorod Region 174
30 Ivanovo Region 171
31 Omsk Region 170
32 Republic of of Chuvashia 169
33 Saratov Region 166
34 Novosibirsk Region 158
35 Pskov Region 147
36 Amur Region 146
37 Smolensk Region 145
38 Vologda Region 142
39 Stavropol Territory 142
40 Vladimir Region 139
41 Udmurtian Republic 138
42 Orel Region 137
43 Tyumen Region 137
44 Kurgan Region 133
45 Samara Region 128
46 Kostroma Region 125
47 Kamchatka Territory 125
48 Tambov Region 124
49 Yamalo-Nenets Autonomous Area 121
50 Sakhalin Region 118
51 Komi Republic 114
52 Republic of Bashkortostan 113
53 Nenets Autonomous Area 111
54 Republic of Chechnya 107
55 Sevastopol 101
56 Penza Region 94
57 Voronezh Region 91
58 Republic of Ingushetia 76
59 Republic of Altai 75
60 Republic of Crimea 73
61 Murmansk Region 71
62 Chukotka Autonomous Area 65
63 Magadan Region 64
64 Arkhangelsk Region 62
65 Ryazan Region 62
66 Republic of Khakassia 61
67 Bryansk Region 60
68 Trans-Baikal Territory 54
69 Republic of Mordovia 53
70 Republic of Buryatia 50
71 Khanty- Mansi Autonomous Area – Yugra 50
72 Karachayevo-Circassian Republic 43
73 Arkhangelsk Region 40
74 Kabardino-Balkarian Republic 20
75 Republic of Daghestan 20
76 Republic of Kalmykia 19
77 Jewish Autonomous Region 12
78 Republic of Adygeya 11
79 Republic of Mari El 11
80 Republic of North Ossetia-Alania 9
81 Republic of Tuva 9

Ranking methodology

The ranking is based on the Invest Region daily digest published by Invest Foresight. The Best Investment News is selected every day. In the first half of 2019, Invest Foresight experts selected 3,073 briefs and viewed over 20,000.  The list includes the official websites of 81 Russian regions; 100 publications in all. The annual investment activity ranking will be published at the end of the year.

Calculating points

The Russian regions’ investment activity ranking assesses the news about investment projects launched and implemented in Russian regions published in our daily digest of regional investment news. All news items were scored on a 10-point scale:

10 —launching the project, or another stage of the project;

9 — allocating funding for the project, providing a loan;

7 — signing an agreement on the implementation of the project;

4 — signing an agreement of intent;

1 — other news.

Since July 1, a coefficient has been introduced depending on the scale of the project. News about the launch of a project or its stage receives 10 points plus 6 points if the project received between RUR 1 bln and RUR 5 bln ($16 mio-$79 mio) in investment; plus 9 points if the project received between RUR 5 bln and RUR 10 bln in investment; and plus 12 points if investments exceeded RUR 10 bln ($159 mio).

In addition, starting July 1, the Best Investment News of the Day receives an additional 5 points.

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