The real economy of the Chuvash Republic: assessment and factors of increasing its financial sustainability

Financial stability of the region suggests its financial status characterized by its independence from external financing and sufficient domestic sources of revenue. Evaluation of absolute and relative indicators reflecting the economic development of the region, their interpolation on a macrolevel are the basis for building a mechanism of financial stability in the region. The paper examines the status and factors influencing the real sector of the regional economy. The research identifies the basic trends in the components of the real economy as well as the reasons for the deterioration in several indicators that affect the financial stability of the region. An in-depth analysis of the gross regional product in the constituent entities of Volga Federal district revealed its place in the social and economic development of the district of the Chuvash Republic. A common approach to address the issue of improving the financial stability of the region involves the use of factor analysis of the indicators characterizing the real economy. This research identifies factors hindering the financial stability of the real sector of the regional economy. Besides, it provides recommendations for ensuring the growth of the gross regional product, which is an integrative indicator of the social and economic development of the region.