THE NECESSITY, SIGNIFICANCE AND METHODOLOGY OF ASSESSING THE INVESTMENT ATTRACTIVENESS OF REGIONS

Abstract

This article examines the theoretical and methodological foundations of assessing the investment attractiveness of regions, with particular attention to the necessity, significance, and methodological approaches to its evaluation. In the context of increasing competition for domestic and foreign investment, regional investment attractiveness has become an important factor determining the economic development potential and competitiveness of territories. Investment attractiveness is considered as a multidimensional economic category reflecting the combination of a region’s economic potential, infrastructure, labor resources, market capacity, institutional environment, innovation potential, financial conditions, and investment risks. The article systematizes the major factors influencing regional investment attractiveness and analyzes the advantages and limitations of rating, scoring, expert assessment, coefficient-based, and integral index methods. Particular attention is devoted to the development of a comprehensive methodological framework based on the normalization and weighting of key indicators. The proposed approach makes it possible to compare regions according to their investment potential, identify their competitive advantages and structural weaknesses, and formulate evidence-based regional investment policies. The article concludes that systematic assessment of regional investment attractiveness should be regarded not merely as a ranking instrument but as an important mechanism for strategic regional management, investment policy development, and balanced socio-economic growth.