EVALUATION OF INVESTMENT MARKET SIZE IN THE ARCTIC: A CASE STUDY OF THE MURMANSK REGION

This article forms part of a broader study focused on developing financial instruments to attract additional investment for the sustainable development of the Arctic amid evolving geopolitical challenges. Before new financial mechanisms can be designed or existing ones refined, several foundational...

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Main Author: Dmitriy S. Krapivin
Format: Article
Language:English
Published: The Russian Academy of Sciences, Federal Research Centre Kola Science Centre 2025-03-01
Series:Север и рынок: формирование экономического порядка
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author Dmitriy S. Krapivin
author_facet Dmitriy S. Krapivin
author_sort Dmitriy S. Krapivin
collection DOAJ
description This article forms part of a broader study focused on developing financial instruments to attract additional investment for the sustainable development of the Arctic amid evolving geopolitical challenges. Before new financial mechanisms can be designed or existing ones refined, several foundational issues must first be addressed—some of which are explored in this study. The research examines investment flows into fixed assets in the Murmansk region, analyzing funding sources and sectoral distribution. Findings indicate that project financing relies predominantly on external sources, with their share increasing relative to internally generated funds over the study period. The federal budget serves as the primary source of external investment, while alternative channels—such as household savings and credit sector resources — remain largely untapped. Furthermore, the study reveals that businesses and regional authorities primarily direct investments toward maintaining core operations to ensure economic stability and meet essential public service needs. However, this approach does little to drive long-term socio-economic growth. Recognizing this limitation, the Murmansk region — like many others — has attempted to address the issue through regional development corporations. An assessment of these institutions indicates that key steps have been taken to stimulate investment, with several projects already completed and others in progress or under preparation. Ultimately, the study concludes that while the Murmansk region holds substantial investment potential, its development is constrained by a lack of financial resources. This shortfall could be partially alleviated through the implementation of innovative or adapted financial mechanisms.
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institution Kabale University
issn 2220-802X
language English
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publisher The Russian Academy of Sciences, Federal Research Centre Kola Science Centre
record_format Article
series Север и рынок: формирование экономического порядка
spelling doaj-art-9fa77d74222042ff887acec9264a41512025-08-20T03:41:10ZengThe Russian Academy of Sciences, Federal Research Centre Kola Science CentreСевер и рынок: формирование экономического порядка2220-802X2025-03-0128110211510.37614/2220-802X.1.2025.87.007EVALUATION OF INVESTMENT MARKET SIZE IN THE ARCTIC: A CASE STUDY OF THE MURMANSK REGIONDmitriy S. Krapivin0https://orcid.org/0000-0003-2703-9119Luzin Institute for Economic Studies of the Kola Science Centre, Russian Academy of Sciences, Apatity, RussiaThis article forms part of a broader study focused on developing financial instruments to attract additional investment for the sustainable development of the Arctic amid evolving geopolitical challenges. Before new financial mechanisms can be designed or existing ones refined, several foundational issues must first be addressed—some of which are explored in this study. The research examines investment flows into fixed assets in the Murmansk region, analyzing funding sources and sectoral distribution. Findings indicate that project financing relies predominantly on external sources, with their share increasing relative to internally generated funds over the study period. The federal budget serves as the primary source of external investment, while alternative channels—such as household savings and credit sector resources — remain largely untapped. Furthermore, the study reveals that businesses and regional authorities primarily direct investments toward maintaining core operations to ensure economic stability and meet essential public service needs. However, this approach does little to drive long-term socio-economic growth. Recognizing this limitation, the Murmansk region — like many others — has attempted to address the issue through regional development corporations. An assessment of these institutions indicates that key steps have been taken to stimulate investment, with several projects already completed and others in progress or under preparation. Ultimately, the study concludes that while the Murmansk region holds substantial investment potential, its development is constrained by a lack of financial resources. This shortfall could be partially alleviated through the implementation of innovative or adapted financial mechanisms.russian arcticregional economyinvestmentsfinancial instrumentsfinancial marketfinancial regulation
spellingShingle Dmitriy S. Krapivin
EVALUATION OF INVESTMENT MARKET SIZE IN THE ARCTIC: A CASE STUDY OF THE MURMANSK REGION
Север и рынок: формирование экономического порядка
russian arctic
regional economy
investments
financial instruments
financial market
financial regulation
title EVALUATION OF INVESTMENT MARKET SIZE IN THE ARCTIC: A CASE STUDY OF THE MURMANSK REGION
title_full EVALUATION OF INVESTMENT MARKET SIZE IN THE ARCTIC: A CASE STUDY OF THE MURMANSK REGION
title_fullStr EVALUATION OF INVESTMENT MARKET SIZE IN THE ARCTIC: A CASE STUDY OF THE MURMANSK REGION
title_full_unstemmed EVALUATION OF INVESTMENT MARKET SIZE IN THE ARCTIC: A CASE STUDY OF THE MURMANSK REGION
title_short EVALUATION OF INVESTMENT MARKET SIZE IN THE ARCTIC: A CASE STUDY OF THE MURMANSK REGION
title_sort evaluation of investment market size in the arctic a case study of the murmansk region
topic russian arctic
regional economy
investments
financial instruments
financial market
financial regulation
work_keys_str_mv AT dmitriyskrapivin evaluationofinvestmentmarketsizeinthearcticacasestudyofthemurmanskregion