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RESEARCH CENTRE FOR INDUSTRIAL DEVELOPMENT PROBLEMS of NAS of Ukraine (KHARKIV, UKRAINE)

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ID R30-03156

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Liburkina L. M.

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Assessing the Economic Development of the Region: Methodological Aspect
Umanets T. V., Syrchyn O. L.

Umanets, Tetiana V., and Syrchyn, Oleksandr L. (2026) “Assessing the Economic Development of the Region: Methodological Aspect.” Business Inform 5:230–238.
https://doi.org/10.32983/2222-4459-2026-5-230-238

Section: Regional Economy

Article is written in Ukrainian
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UDC 330.3: 332.1

Abstract:
Today, economic science and practice are not ready to offer a sufficiently complete and clearly defined set of methods and indicators that objectively and convincingly characterize the economic development of a certain region. The aim of the article is to study methodological and practical issues of assessing the economic development of regions. The proposed methodology for assessing the potential of economic development of a region is based on the following provisions: a) the availability of annual statistical data published by the country’s authorities, on the basis of which one or another indicator can be obtained or calculated; b) the ability of indicators to reflect the properties of the region that are key for the region; c) the presence of a relationship between indicators and the socioeconomic development of the region. As a consolidated or integral indicator characterizing the development of the region’s economy, in the opinion of the authors, it is advisable to use the gross regional product (GRP) indicator. Regions have different amounts of resources at their disposal. It is the amount of available resources that directly affects the value of GRP. How to compare such regions with each other? To eliminate the effect of the scale of the region’s resources, the GRP indicator is usually normalized by the population of the region (GRP production per capita). As a key indicator of the methodology, a relative indicator «K» is proposed, where the GRP per capita of the region is compared with the GDP per capita of the country for several years (in %). A gradation of groups for assessing the economic efficiency of the regions’ activities with an interval of 20% is proposed. It is recommended to supplement the consolidated assessment of the region’s economic development with: a) an assessment of the share of the region’s GRP in the country’s GDP; b) an assessment of the dynamics of the region’s GRP share in the country’s GDP; c) an assessment of the dynamics of the region’s GRP in national or foreign currency. The proposed methodology for assessing the region’s economic development is illustrated by the example of the Odesa region. In terms of economic development, the Odesa region belongs to the second group of regions of Ukraine (7th place in the ranking of regions), which are assessed as moderately developed (relative to the level of development of the country itself). It is noted that further increasing the level of economic development of the region requires significant capital investments and labor resources.

Keywords: natural resource potential; regions of the country; challenges and threats; digital technologies.

Fig.: 3. Tabl.: 2. Bibl.: 15.

Umanets Tetiana V. – Doctor of Sciences (Economics), Professor, Head of Department, Department of Enterprise Development, Institute of Market and Economic-Ecological Research of NAS of Ukraine (29 Frantsuzskyy bulvar, Odesa, 65044, Ukraine)
Email: [email protected]
Syrchyn Oleksandr L. – Candidate of Sciences (Economics), Associate Professor, Senior Research Fellow, Department of Entrepreneurship Development, Institute of Market and Economic-Ecological Research of NAS of Ukraine (29 Frantsuzskyy bulvar, Odesa, 65044, Ukraine)
Email: [email protected]

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