Dynamics of innovation governance under unsustainable conditions

National innovation development in the Russian Federation is executed based on documents defining relevant policies. The high volatility of the global market, which includes Russia, requires the active and flexible economic policies on the innovation basis. The paper deals with the transformation of interactions between the actors of the national innovation system and the government. The study critically examines the opportunities and constraints of legal standards and institutions, motivations and economic incentives for innovation development in the Russian economy. In order to increase public support in the Russian Federation, it is necessary to create an integrating body which will coordinate investment promotion activities and reduce duplicate programs and wasteful investments. The authors conclude that innovation governance must be a multifunctional decision-making system that defines the innovative development strategy and provides an ongoing prediction and implementation of these solutions.