Investments as a source of economic growth and their social and economic efficiency

Aim. The work aims to analyze the social and economic efficiency of investments as a key source of economic growth. Objectives. The work seeks to study the importance of investments in the modern economy, identify the main factors influencing investment activity in Russia, and perform a comparative analysis of the investment climate of the regions and analyze its relationship with social and economic development. Methods. The study employed retrospective and comparative analysis, as well as statistical data. Particular attention was paid to qualitative and quantitative approaches to assessing the investment climate based on the National Investment Rating and data on the social and economic situation of the regions from the infographics of the rating agency “RIA Rating.” Results. The study revealed that investments are of key significance in the social and economic development of the regions of Russia. The leaders in terms of investment activity are Moscow, the Republic of Tatarstan and the Nizhny Novgorod Region, which have demonstrated high adaptability to economic challenges. The least favorable indicators are registered in the Republic of Kalmykia, the Karachay-Cherkess Republic, and the Republic of Tuva. In these regions, economic conditions restrict the investment raising. A close relationship between the investment attractiveness of the region and the level of socio-economic development was revealed. Conclusions. Determining the effect of investments within a region is a complex task due to their long-term nature. The time factor can significantly affect the perception and achievement of the desired result, which complicates the correlation of the socio-economic effect with the initial investment. Despite these difficulties, investments remain a key means for the long-term and sustainable economic development of Russia. A necessary condition for increasing their efficiency is the improvement of state policy in the field of stimulating investment activity, increasing the level of financial awareness of the population, developing infrastructure, and creating a favorable environment for business operations. Particular attention should be paid to regions with low investment potential, since their support is important for ensuring the balanced development of the country as a whole.