Depreciation of fixed assets of the trade services market in the northern regions

This research paper presents the results of an in-depth research analysis of the use and reproduction of fixed capital in trade organizations in the northern regions of the Russian Federation for the period from 2017 to 2022. The study covers twelve regional subjects in which trade occupies a significant place in the structure of gross regional product. In the course of the work, a thorough assessment of changes in the main financial indicators characterizing the state of trade enterprises in these northern territories was carried out. One of the key conclusions of the study is to establish that the level of depreciation of fixed assets demonstrates increasing dynamics. The studied data indicate a high percentage of fully depreciated assets, which invariably increases every year. At the same time, as the results of the analysis show, the commissioning of new assets remains at a relatively low level and does not reflect the rates necessary for the effective functioning of this sector of the economy. An important aspect of the work was the identification of a number of factors that significantly affect the dynamics of fixed assets depreciation in the northern regions. Such factors include the weakness of financial markets and instability of the banking system, which makes it difficult for organizations to access the necessary finances. Lack of state support also negatively affects the ability of trade enterprises to renew their fixed assets. It is not uncommon that investments are financed solely at the expense of own resources, which obviously limits the volume and efficiency of asset renewal.