(MENAFN) A recent study based on data from Russia's Tax Service and statistics agency Rosstat has unveiled Moscow, Khanty-Mansi, and Yamalo-Nenets as the top-ranking regions in terms of economic development among Russia's 35 strongest regions. The rankings were determined by assessing wage levels and Value Added Tax (VAT) contributions in the second quarter of 2023.

While certain industries experienced a decline in profits during this period, the study observed a simultaneous uptick in wages. Notably, Moscow, Khanty-Mansi Autonomous Region, and St.

Petersburg emerged as the leaders in both VAT contributions and profitability for enterprises.

Georgiy Ostapkovich, the head of the Center for Market Research at the National Research University Higher School of Economics, emphasized the clear leadership of Moscow. He described the city as a competitive and innovative hub characterized by high salaries, housing profitable companies, and boasting a populace of affluent residents.

Regarding Khanty-Mansi and the Yamalo-Nenets autonomous regions, Ostapkovich highlighted their wealth in terms of natural resources, coupled with well-developed industries and high productivity.

The report also shed light on a surge in labor demand in Russia, particularly in sectors like engineering, IT, and industry, as import substitution efforts gain momentum. This underscores the dynamic shifts occurring within Russia's labor market, driven by evolving economic priorities and industry trends.

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