Role of municipalities in implementation of the spatial development strategy

The article deals with the trends and contemporary development problems of the municipal economy in the context of spatial development. The municipal level of economy is characterized by significant economic differentiation between the constituent entities of the Russian Federation. The study identifies the role and importance of municipalities in the implementation of the principles of spatial development, the challenges faced by municipal self-government in implementing the strategic development plans based on evaluation of the socio-economic status. The municipalities of the Republic of Buryatia are objects of our research. We have identified the vulnerabilities of the municipal economic system, including the imperfection of legislation, territorial remoteness, financial dependence on higher authorities, and lack of independence in decision-making. Summing up, we have emphasized the priority areas and given recommendations for developing the potential of the republic's municipalities.