Moscow
Lesedauer: 7 Minuten
Russia's capital Moscow is the largest city in Europe and one of the largest consumer markets in Europe. Moscow is a modern metropolis, convenient for living and attractive for business. The most important driver for the development of modern Moscow is the economic and infrastructural development of the territories outside Moscow. In 2012, Moscow’s´ territory was extended by 148.000 hectares, giving a new boost to growth and investment. Moscow's major industries include trade, real estate development, manufacturing and science, and research. In terms of quality of life Moscow is at the top in European and global comparison according to the E-Government Development Index.
In recent years, extensive improvement measures have been carried out to make Moscow even more attractive as a business location - a large number of mechanisms to support investors have been introduced, modern infrastructure has been expanded and effective cooperation with companies has been strengthened. The capital's investments currently account for 260 billion $ (222 billion €), half of Russia's direct foreign investment.
Population: 12,7 million (2019), the largest city in Europe
Area: 2.561,5 km² (01/01/2020)
- Regional GDP (2018): 17,9 trillion RUB (201 billion EUR ). With a fifth of GDP, Moscow is one of the richest subjects in the Russian Federation.
- GDP per capita (2018): 1,4 million rubles (15.730 euro), almost 2,5 times higher than the average Russian level
- With 10 trillion RUB (112 billion EUR) of consumer spending annually, Moscow is one of the top 5 urban consumer markets in the world and one of the top 3 in Europe.
- Inflation rate: 3,8 % (2020)
- Moscow is a city with a very low unemployment rate - only 1,4 % (in 2019), which is less than most other megacities in the world.
- Moscow has a strong trade sector - 26,1 % of the regional GDP, followed by the industry (15,7 %), real estate (11,7 %), science and research (8,5 %), transport (6,7 %), information and telecommunications sector (6,6 %)
- Moscow has stable positions in international rankings: it occupies 1st place in the world in terms of the development of electronic government in cities (E-Government Development Index), 6th place in the evaluation of European cities and regions of the future (Financial Times / FDI Intelligence) and 6th place in the rating of the quality of life in cities (World's Best City Brands)
- Positive investment and business climate: In 2019, Russia (thanks to Moscow) rose by 95 positions in the Doing Business rating compared to 2010 and is now in 28th place
- Comfortable, modern and intelligent transport infrastructure, integrated urban public transport network. Public transport accounts for 76 % of passenger transport. The low cost of public transport compared to the world's largest megacities is a major advantage of Moscow.
- The Moscow Metro, with 15 lines and 232 stations, is the busiest and largest in Europe and the sixth in the world for daily passenger traffic.
- Moscow has 50.000 licensed taxis and an excellent car sharing system with 23.000 cars.
- With five international airports, Moscow is the third largest air transport hub in Europe (after London and Paris) and one of the ten busiest in the world.
- The largest Moscow railway junction in Europe combines 11 radial and 2 circular lines, 9 stations, more than 50 freight and shunting yards. The total length of the routes is over 2.700 km.
- High level of development in information and communication technologies. 80 % of the households have broadband internet access with an average speed of 20 Mbit per second, the costs for the internet are 35 rubles (0,4 euro) per Mbit / sec. minimal. More than 30.000 public WLAN access points are available free of charge.
- Number of companies (as of 01/01/2020): 720.312, mainly SMEs, of which 35 % in the trading sector, 13 % in research and development and 12 % in the construction sector.
- Moscow is the financial center of Russia. More than half of the banks registered in the country are concentrated in Moscow, while they make up 90 % of bank assets. The Moscow Stock Exchange is one of the top 30 stock exchanges in the world and one of the largest stock markets in the CIS and Eastern Europe.
- Moscow is an important center for mechanical engineering, including power engineering, machine tool, shipbuilding and instrument making, ferrous and non-ferrous metallurgy, chemical, light and printing industries. In recent years, however, production has been relocated outside of Moscow.
- Moscow is the largest technology center in the country, a significant part of the technologies (especially aviation, space, nuclear power and weapons) are developed here.
- The economic sectors that produce products “made in Russia” account for 20,7 % of Moscow's gross regional product, employing 1,88 million people.
- Moscow has 16,6 million square meters of office space, including 4,4 million square meters in A-class. The average cost of renting a class A office (in the third quarter of 2019) is 25.600 RUB (288 EUR) per sqm per year or 24 EUR per sqm / month.
- The Moscow government promotes industrial development through a system of tax breaks and incentives. The city has a special economic zone "Technopolis" Moscow ", 36 technoparks, industrial parks, 48 industrial complexes. Depending on the assigned status, various types of assistance, tax reduction and tariff benefits are provided.
- Moscow is the seat of around 50 international organizations (UN, IMF, WHO, UNESCO, International Labor Organization, World Bank)
- Moscow companies invested 183,5 billion US $ (156 billion EUR) abroad (2019), of which 166,2 billion US $ (142 EUR) outside CIS countries. The most important export products include mineral products (83,2 %), machines, devices and vehicles (5,5 %)
- The main trading partners include China, the United Kingdom, Germany, the USA and Italy.
- According to customs statistics, from January to December 2020, companies and organizations registered in Moscow conducted commercial transactions with 221 countries around the world.
- Moscow offers a number of competitive advantages for foreign investors. First, it is an entry point into the market of Russia and the CIS countries with a population of about 200 million people, as well as entry into export markets. In addition, investors in Moscow have access to high-quality workers and educational science potential. The high level of development of information and communication technologies, efficient transport and supply infrastructure, positive dynamics in the development of public spaces and the high quality of the urban environment make Moscow very attractive for foreign investors as well.
- According to the rating of attractive European cities for foreign direct investment, which was compiled by the Financial Times (FDI's European Cities and Regions of the Future 2020/21), Moscow is among the top 10 in Europe in terms of investment attractiveness and ranks 22nd. Place in the world.
- Foreign top investors come mainly from Germany, France, Finland, Italy, Austria and the USA.
- Moscow has great scientific potential. More than 30 % of Russia's scientific and technical specialists work and research in the capital.
- There are 715 research institutes in Moscow employing 204.900 highly qualified people. More than 1000 high-tech companies operate in the capital.
- Moscow ranks 38th among 500 cities worldwide according to the Innovation Cities Global Index (2thinknow).
- Moscow attracts qualified personnel from other regions of Russia and the CIS countries; 50 % of the professional population have a university degree.
- Higher education is one of Moscow's competitive advantages. The best universities in the country are located in Moscow. Moscow is one of the largest scientific centers in the world - a center for technology, innovation and education.
- Moscow has around 150 higher education institutions, 75 of which are state institutions, with a total of 700.000 students.
- The number of vocational training institutions in Moscow is 119 vocational schools with 148 thousand students
- Moscow is a world-class center for culture and art with 8.000 objects of cultural heritage and annually attracts 20 million tourists, a quarter of them are foreign tourists.
- Moscow is among the top 20 most visited cities in Europe and ranks 31st in the list of the most visited capitals in the world.
- Thanks to the canal system in Moscow, this city has been known since the Soviet era as the "port of the five seas" - the Baltic Sea, the Whites, the Caspian, the Azov and the Blacks. Cruise ships operate from the north and south train stations that connect Moscow with St. Petersburg, Astrakhan, Rostov-on-Don and other Russian cities.
- In recent years Moscow has created an efficient infrastructure for the development of tourism. One of the main elements is the hotel industry, which currently comprises around 1,7 thousand hotels and similar tourist accommodations.