INVESTMENT POTENTIAL OF REGIONS UNDER ECONOMIC TENSION: NEW APPROACHES AND PROSPECTS

Abstract

The article considers the theoretical bases for the formation of investment climate in regions. The author analyzes various aspects of the investigated problem in search for the ways to solve them in the conditions of the economic crisis. The investment potentials of regions are included in the object of scientific research of the regional economy. In conditions of economic instability the state acquires the leading role in strengthening its regulation, economic support of the regions, investing in real production and the “knowledge economy”. The article discusses the shortcomings that hamper the formation of investment climate in Russia, the effects of regional branding on the areas of regional activity, including regional and local governance, indicators of its effectiveness, new approaches to the relationship between the Center and the regions. The authors come to the conclusion that investments directly influence the improvement of the investment climate in the region, the creation of industries and new jobs, the development of healthy competition in business and create the basis for improving the life standard of the population of the region; in conditions of sanctions and economic instability it is necessary to strengthen state regulation of economy, to conduct de-offshorization, and to increase state financing of the regions.