Economics at your fingertips  

The success and failure of Russian SEZs: some policy lessons

Alexey Kuznetsov and Olga Kuznetsova

UNCTAD Transnational Corporations Journal

Abstract: This paper examines the economic efficiency of Russian special economic zones (SEZs) established by federal authorities since 2005. The results are mixed: the payback of SEZs is low, but they continue to attract residents; SEZs have greater attractiveness for foreign investment, but their sectoral structure is fundamentally no better than the country-wide structure; SEZs’ enterprises have higher labour productivity than the country, but mainly owing to their recent creation. The common bottlenecks of SEZ development are the instability of legislation on SEZs, the low level of federal authorities’ activity in SEZ development before the economic crisis, competition with other preferential regimes for investors and the long period of searching for the optimal system of SEZ management. Differences in the efficiency of particular SEZs are explained by the peculiarities of the territories where SEZs are established. SEZs are successful if they are created on sites that enjoy a favourable geographic position and in regions that have advanced levels of industrial development.

Date: 2019
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1) Track citations by RSS feed

Downloads: (external link) (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

Access Statistics for this article

UNCTAD Transnational Corporations Journal is currently edited by Mathabo Le Roux

More articles in UNCTAD Transnational Corporations Journal from United Nations Conference on Trade and Development Contact information at EDIRC.
Bibliographic data for series maintained by Mathabo Le Roux ().

Page updated 2020-02-22
Handle: RePEc:unc:tncjou:6