INSTITUTIONAL AND ORGANIZATIONAL ASPECTS OF ATTRACTING INVESTMENTS IN THE REGION’S ECONOMY

Abstract

The purpose of the article is to identify the institutional and organizational aspects of attracting investment in the economy of the region (on the example of the Orenburg region) to improve the investment climate and the formation of effective policy with the maximum use of various sources of funding. The article sets the following tasks: to consider the mechanisms traditionally used in economic practice to attract investment in the economy of the region; to show the strengths and weaknesses in the management of investment activities in the Orenburg region by comparing the identified stimulating and constraining factors of investment development in the region. It is also necessary to reveal the role of the Institute of public-private partnership in attracting investment and to justify possible ways to overcome the negative trends in the development of the regional investment process. The study provides an overview of the achievements of the region in the application of the institutional mechanism to stimulate investment processes, highlights the most significant gaps in this area. In the Orenburg region, a sufficient institutional and regulatory framework has been formed, including development institutions and the necessary legislative, regulatory and methodological acts, and conditions have been created for the use of all types of organizational support for the investment process, which also includes various measures of state support. The author notes the negative aspects that limit investment activity: the weak use or non-use of a number of financial institutions (such as the ability of financial markets to attract capital, the lack of venture capital funds for the implementation of risky projects), the lack of coordination of regional investment management with federal institutions, etc.