Application of the Project Approach in the Territorial Development of the Eastern Regions of Russia

Natural resources extraction, industrial and social development of the Eastern regions of Russia is associated with great costs and takes a long time. These costs are due to both natural and climatic conditions, and poor-developed infrastructure of the territory. Use of the project approach may accelerate regional development. The project approach assumes the achievement of goals in a short-time period and the use of various investment sources. The Krasnoyarsk Krai applies the project approach for natural resources extraction and industrial development. In the region, large-scale investment projects have been implemented for 20 years. These projects have huge socio-economic effects. The Krasnoyarsk Krai has unique features that make it possible to implement large-scale investment projects based on the principle of public-private partnership, where private investments make up the bulk of the total investment. The regional advantages are its geographical position; huge reserves of hydrocarbons, coal, gold and other minerals; involvement in natural resources development of large companies and investors, such as MMC Norilsk Nickel, Rosneft Oil Company, Rusal, Sberbank and others. Significant industrial and scientific potential also contributes to the successful implementation of large-scale investment projects in Krasnoyarsk Region. The purpose of the study is to assess the socio-economic effects of large-scale investment projects implemented in the Krasnoyarsk Krai. The paper analyzes investment projects for the integrated development of the Lower Angara region, the Arctic zone of the Krasnoyarsk Krai and «Yenisei Siberia». The results demonstrate that projects of natural resource use result in the infrastructure development, new jobs creation, an increase in tax revenues, and the acceleration of economic growth. The paper also identifies problems, bottlenecks and risks of the investment projects, which enables the planning and economic authorities of the region to correct investment decisions and prevent negative social, economic and environmental consequences