Krasnodar Region ranked fourth for investment climate in Russia

The Krasnodar Region has achieved its best-ever result in the Regional Investment Climate Rating. The results were announced at the St Petersburg International Economic Forum.

The ranking is compiled annually by the Agency for Strategic Initiatives in collaboration with leading business associations. According to the data, the Krasnodar Region is among the leaders in the categories of «Infrastructure, Technology, and Communications and Support for Small and Medium-Sized Businesses».

«The regions high ranking is largely due to its systematic approach to working with investors. The Krasnodar Region has introduced comprehensive land bank management centred on ready-made investment proposals, allowing investors to sel ect the most suitable sites based on an evaluation of infrastructure provision, target market research, and available state support measures,» said Svetlana Chupsheva, Head of the Agency for Strategic Initiatives.

The Krasnodar Region leads nationally in the quality and accessibility of property and investment infrastructure for small and medium-sized businesses and in the number of active small and medium-sized businesses per thousand inhabitants. It also ranks second in the country for the quality of advisory and educational services for the sector.

«The investment climate ranking is an important benchmark in our work. In recent years, the Krasnodar Region has consistently been among the top ten. Yet, reaching the top positions is no easy task  the competition is fierce. Five years ago, the regions investment portfolio was dominated by projects in the construction and fuel and energy sectors. A strategic analysis identified three new priority areas for investment attraction: industry, resorts, and the IT sector. For each, targeted support measures were developed: tax exemption and other preferences, lowinterest loans, and subsidies. The results of these efforts can be seen today. At the end of 2020, investment in the Krasnodar Region totalled around 500 billion roubles. In 2024 and 2025, it exceeded 1 trillion roubles. This year, it is expected to reach at least 1.3 trillion roubles, and by 2030 we aim to have attracted 2 trillion roubles," said Veniamin Kondratyev.

Veniamin Kondratyev also highlighted that since 2020, the regions investment portfolio has grown significantly fr om 2 to 4.9 trillion roubles. Yet, the more significant achievement has been diversification. Manufacturing and the health resort sector, the region's two priority areas, now lead the portfolio, together accounting for more than 340 projects worth over 3.4 trillion roubles. Local investors have played a major role in this growth.