Moscow Economy: Key Industries

2024 Author: Henry Conors | [email protected]. Last modified: 2024-02-12 02:55

In terms of the country's gross national product, the share of the capital is more than 20%. The head offices of most of the largest enterprises in various fields are located in Moscow. Despite the fact that the direct enterprises of the extractive and manufacturing industries may be located in the place of processing or extraction of raw materials, it is in the capital that top managers and the board of directors make decisions. According to the legislation of Russia, in such institutions a large share of tax deductions falls on the capital's budget. Many sectors of the Moscow economy operate according to this scheme. In nominal terms, the budget of the main city of Russia is larger than the sum of the budgets of all, for example, the B altic republics taken together or one Ukraine. However, it is three times smaller than in New York.

To touch on this topic, it is necessary to recall the situation with Ukraine. Due to conflicts with this country, the Moscow economy at some points began to experience certain difficulties, but politicians are carefully monitoring the situation and are doing their best to preventget out of control.

Population, businesses and other important objects

In Moscow, enterprises of the military-industrial complex are concentrated. The capital of the country is the largest engineering and design center. Most enterprises with direct foreign capital have their headquarters in Moscow. Also here are the embassies of all states with which the Russian Federation has diplomatic relations.

In terms of the number of trade and retail enterprises per capita, the capital is in the top five leading cities in the world. The Ministry of Economy of Moscow constantly emphasizes this. According to Forbes research, stores that have prefixes in their names, such as mega-, super-, and the ending -mall, are most concentrated in the Russian capital and adjacent territories near the Moscow Ring Road. Also, according to research by the same publication, the largest number of billionaires live in Moscow.

Tourism

Moscow's economy is tightly based on tourism. It is worth noting that this industry is actively developing. As of 2015, more than 5 million foreign tourists crossing the Russian border have Moscow as the main purpose of their stay. The holding of annual economic, business, cultural and sports forums contributes to the construction of new hotel complexes, the shortage of which is acutely felt in the so-called "high" tourist season. Of course, Moscow's economy is only getting stronger from this.

Significant enterprises

Among the enterprises whose share of deductions to the budget, both regional and federal, is the highest, the following organizations can be noted:

• Moscow Oil Refinery.
• Autoframos (manufactured by Renault cars).
• "Trekhgornaya manufactory".
• "Moskhimfarmpreparaty" im. Semashko.
• "Red October".
• "Rot-Front".
• Likhachev Plant.
• Sberbank.
• Moscow Electroshield Plant.
• Moscow Tire Plant.

Transportation

The economy of the city of Moscow is growing stronger due to the fact that the capital has a developing infrastructure. According to government decisions, shops and shopping malls are being built to provide the population with essential goods within walking distance. Along with a large number of freight and passenger railway lines, as well as rivers, most of which are tributaries of the Moskva River, the most acute issue is the transport accessibility of certain areas of the city. The condition and possibilities of roads built in the last century do not meet the requirements of a modern metropolis. The emerging new interchanges only temporarily reduce the problem of constant traffic jams. Specialists called upon to resolve issues of this nature are invited to seek resources for the introduction of new types of urban transport, including intracity electric trains, trams and light rail lines.

Metro

The Moscow metro is called a separate territory in the city. Undoubtedly, it is impossible to imagine a modern capital without this type of transport. Thanks to him, a balance is maintained between car owners and pedestrians, which makes it possible not to bring the situation on the roads of the metropolis to a critical one. The economy of Moscow does not depend much on this type of transportation, but the presence of a huge subway speaks of the development of the city.