// INVESTMENT CLIMATE / STRENGTHS AND WEAKNESSES
STRENGTHS AND WEAKNESSES
Strong Aspects of the Region
- One of the most politically stable regions of Russia, characterized by a high loyalty of the population to the President and the republic`s Government, as well as by high quality of administration management.
- Favorable geographic location in the center of the European part of Russia, strategic position of most important rail, water and highways juncture.
- Low level of accumulated debt, good credit history, adequate debt strategy, high diversification of the republican budget incomes.
- Stable economic growth during recent years.
- Considerable amount of capital assets, accumulated in the industrial and construction spheres (over 30 billon rubles), availability of industrial centers with developed industrial infrastructure.
- Created foundation for the growth of the gross regional product and taxable capacity, for the mastering of competitive type of production.
- Qualified and relatively low-cost labour.
- The agricultural complex is capable of supplying the republic with all main food products, the republic is the main hop-growing region of Russia (80% of the gross hop yield of Russia).
- Policy of information openness, accelerated development of the republican information analysis system.
- Favorable environmental conditions for recreation and health support of the inhabitants and guests of the Republic (unique recreation recourses availability), stable ecological situation.
Weak Aspects of the Region
- Dependence upon state subsidies, low fiscal capacity.
- High level of poverty and material segregation of the population.
- Limited raw material resources of the Republic, lack of strategic mineral resources.
- Considerable depreciation of capital stock in the main industries.
- Insufficient development of scientific and innovation basis.
- Depreciation of ingineering infrastructure.
- Imperfection of “investment-conducting” structures
- Considerable differences in social and economical development of districts, cities of the Republic, necessity of high infrastructural expenses.