Choosing Fund Providers for Regional Strategic Priorities in Major Industries

According to Professor Vladimir L. Kvint’s methodology of strategizing, priorities identified as part of regional strategies should be provided with all types of resources. The availability of resources is the most important element of implementing the provisions stipulated in regional strategic documents. The resource provision system depends on the local priorities, industrial specialization, natural resources, climate, infrastructure, labor power, etc. In their turn, all these factors depend on the availability and accessibility of funds at all stages of expanded economic reproduction in the regional economic turnover. The search for available and optimal fund providers is an important methodological and applied task for the implementation of priorities of regional socio-economic development. The tasks subordinate to the regional economy development strategy involve defining the prospective financial resources, selecting the optimal ones, and managing effective financial relations. A consistent system of industrial priorities makes it possible to assess the attractiveness of various types of internal and external financial sources. In this study, the initial hypothesis was that economic results depend on the structure of fund sources in fixed capital in Russia’s regions. Various types of economic activity in the regions were tested for financial sustainability and grouped by the sustainability of investments in fixed capital for various economic activities. An econometric analysis made it possible to assess the effectiveness of attracting internal or external fund providers for strategic development priorities, depending on the major industry in the region.