Creation of priority development areas in the Republic of Sakha (Yakutia)

The study deals with the development challenges of the Arctic areas of the Russian Federation while creating the priority development areas by a case study of the Republic of Sakha (Yakutia). The paper notes that the priority development areas in Yakutia (Kangalassy, South Yakutia) are of the industrial nature and social significance. It is necessary to advance the tourism sector in the Arctic areas of the Russian Federation in order to provide the social and economic development of the territories inhabited by the indigenous people. Five regions of the Republic of Sakha (Yakutia) are included in the list of the Arctic areas of the Russian Federation. A cluster approach applied to these territories can have a positive impact on different spheres, including tourism which has the potential for improvement. The emphasis is placed on such tourism and recreation cluster as Northern Mosaic that is under implementation. Entertainment and study center Kingdom of the Yakut Winter using the brand of the Yakut winter to attract tourists in both summer and winter is one of the key element of the above-mentioned cluster. The research identifies the reasons for the delay in the construction of tourism clusters that are the lack of funding and improper cost allocation. In the authors’ opinion, the challenges under review can be addressed by a detailed step-by-step planning and the balance between the projects and their resources and opportunities.