FINANCIAL CAPACITY FOR INNOVATION IN THE MINERAL RESOURCES SECTOR OF THE RUSSIAN ARCTIC: AN ASSESSMENT APPROACH

. Advancing the innovation-driven development of businesses in the mineral resources sector of the Russian Arctic requires a set of measures, including both scientific and practical approaches as well as continuous monitoring of their financial and economic performance. The purpose of this study is to develop an approach for assessing the financial capacity of Arctic mineral resource business to support innovation-driven development. The research employs economic analysis tools alongside analytical and graphical methods. The novelty of the study lies in the development of a methodology that evaluates business performance not only through traditional indicators of financial liquidity and sustainability but also by incorporating creditworthiness and net asset measures. The proposed methodology consists of four stages: (1) assessing net assets; (2) evaluating solvency; (3) analyzing creditworthiness; and (4) classifying Arctic businesses according to the identified parameters. The methodology was tested on 29 businesses in the Russian Arctic that submitted financial statements for 2018–2022. The findings indicate that most of them have sufficient financial capacity to pursue innovation-driven development. However, four businesses—Lovozersky GOK, AGD Diamonds, Mayskoye Gold Mining Company, and Tatneft-NAO—lack the necessary financial resources to implement innovation in the medium and long term. The practical significance of this study lies in its proposed methodology for assessing the innovative potential of industrial businesses based on financial data. Future research should focus on refining the methodological foundations for evaluating the financial and economic condition of Arctic businesses and developing targeted measures to strengthen their innovative activity.