Rural development in the Moscow region

Abstract

This study analyzes the implementation of a comprehensive rural development program in the Moscow Region, aimed at ensuring sustainable socioeconomic growth, improving employment, and improving living standards for the rural population. The relevance of this work stems from the transformation of the region’s agricultural policy and the need to assess the effectiveness of state support measures. The theoretical section examines the regulatory framework, as well as state and municipal programs regulating strategic areas of the agro-industrial complex (AIC). Particular attention is paid to direct support instruments: subsidies for improving housing conditions for rural residents, measures to develop engineering infrastructure and landscaping, and financial assistance to cooperatives for the creation of new small businesses. The empirical part of the study is based on industry monitoring data over the past three years. Analysis of statistical indicators revealed conflicting trends: while the overall agricultural production index is expected to decline in 2024, growth is observed in the livestock sector. The most significant positive dynamics were recorded among households (+17.4%) and peasant farms (+18.3%), indicating an increase in livestock in the private sector. A parallel analysis of funding sources revealed a fundamental paradigm shift: by 2024, the share of extra-budgetary funds had decreased to zero, while the role of the regional budget had increased to 70.8%. At the same time, the total funding for regional development activities more than halved, from 135.9 million rubles in 2019 to 54.8 million rubles in 2024. An analysis of the expenditure structure revealed that the main funding was distributed between improving housing conditions (19.6%), water supply (20.8%), road construction (20.9%), and compensating transportation costs (26.6%). The conclusion highlights the lack of a unified strategy and methodology for regional development, as well as the critically low level of investment in the production sector, which poses risks to the agricultural sector. It also substantiates the need to shift focus from non-production activities to developing a production base to ensure self-sufficiency and investment attractiveness in rural areas.