Pskov a city-state, medieval Veche republic and inaccessible fortress - has protected north-western border of the country from time immomeral. The territory of Pskov stretched from the South to the North including the Velikaja river basin. Water way was the most important commercial road and provided a connection with the European countries: The Velikaja river flows into the Pskovskoe Lake, to the Chudskoe lake, and then by the Narva river to the Baltic see. On the banks of the Velikaja river, on the hills, above the lakes 12 small fortresses were erected to secure merchant caravans.
Modern Pskov region is an area in the north-west of the Russian Federation, it occupies 55,3 thousand square km spreading over 380 km from the South to the North and over 260 km from the East to the West. The main peculiarity of the region is a state boundary (with Estonia - 270 km, Latvia - 214 km, Byelorussia - 305 km). Within the country the region verges on Leningrad oblast, Novgorod oblast, Tver and Smolensk oblasts. The distance from Pskov to Moscow is 689 km, and that to S.-Peterburg - 280 km.
An administrative division of the region is the following: 24 rayons and 14 cities, two of which are comparatively large commercial centers: Pskov (206 thousand people) and Velikie Luki(172 thousand people). The population of the region comes to 827100 people (0,5% of the population of Russia). The number of citizens capable of working makes 55,1%. Average age - 38,8. the demographic peculiarities of Pskov region are: a highly-qualified structure of the population (the number of experts with higher and secondary education reaches 25% of the total number of inhabitants) and its ethnic homogeneity (more than 94% of the population are Russians), which contributes, along with favorable policy of the local Administration, to the social and political stability in the region.
Since 1998 one can observe a considerable revival in the real sector of economy, and some prerequisites for stabilizing of the financial and budgetary sectors obvious. In 1998 the growth of industrial output was 102% in comparison to that of 1997, in 1999 industrial enterprises of the city increased there production output up to 20% as compared to 1998. That growth of industrial output can be observed almost in every field. According to the Legislation of Pskov region a reduced income and property taxation was introduced for the industries defined as priority (light industry, food industry, woodworking industry, peat industry). Tax remissions were fixed for certain significant manufacturers (property tax, road tax). Besides with the purpose of attracting investment projects to the region, an “Investment” law of Pskov region was adopted in 1998, aiming at creating favorable investment conditions.
A forest area of the region is about 2450 thousand km or 40% of the total area. Total forest resources come to 250 mln. m3. (coniferous forest - 45%, birch - 35%). The available resources permit storing 3,5 mln. m?. of wood annually (coniferous forest - 30%), but practically only 25-30% of the available resources are used, which reveals promising prospects of the industry.
Energy sector of the region is represented by five enterprises, Pskovskaya HPP is the most remarkable of them. Today only two power units are functioning generating 215 MW each. HPP capacity makes possible exporting surplus of power, a part of them is already being exported to Byelorussia. Provided all four of them are put into operation the capacity will be 860 MW so the volume of export can be increased up to 210 MW. A well-developed net of high pressure power lines transmitting power via Narva (Estonia) to Kaliningrad – in the North and via Polotsk (Byelorussia) to the South.
Pskov region has a half of the agricultural land of the North-west of Russia available. Meat and dairy cattle raising, vegetable-growing and flux cultivation represent the basic brunches of the regional agriculture. Food industry has a great share in the total industrial output of the region, which is the result of the growth of demand and good ecological situation in the region. Today more than 80 enterprises function in the region in the field of processing local agricultural primary products. The enterprises of that brunch can be found practically in all towns and regional rayon centers. Being of good quality, local products are 10-15% cheaper than the analogous ones produced in S.-Petersburg and in the countries of the Baltic region, that results in evergrowing demand for the products not only in Pskov region but also outside of it.
Already in XIX century flux ensured wealth of Pskov region, demand for flux cloth and goods which are of better quality than cotton ones has been always high and the potential of Pskov region in this field is great. A special programme aimed at flux sector development has already been worked out, it implies a considerable increase of flux cultivation area and expansion of production in all fields: storing primary products and an output of integrated products because the main production facilities for flux processing are not under load. The problems regarding foreign investments, working out conjoint programmes and creating conjoint production, if solved, may be very profitable for the participants.
Training for qualified specialists according to the demand at the local labour-market plays an important role in the development of the real sector of economy. Today educational institutions of the region (mostly state) offer training and further acquiring more than 20 pedagogical and and engineering professions. A remarkable fact is that a net of vocational training institutions, which is financed by the regional budget since 2001, is preserved and keeps on developing.
Pskov region is considerably rich in various natural recourses, in Gdov rayon some manifestations of diamond-bearing layer were discovered. Explored peat recourses come to 300 mln t, while only 350 of 3000 peatbogs discovered are being exploited. Among other recourses available molding sand and lass-making sand, refractory and fusible clay, raw material for mineral dyestaff, sapropel of wide ues – medecine, building materials – therapeutic muds and clay. Mineral water production both for internal and external treatment seems to be especially appealing. 8 discovered deposits of mineral water have more than 5 mln m? in reserve.
Transport infrastructure is well developed in the region. Motor ways and railway system provide connection with Moscow, S.-Petersburg, Lvov,, Odessa, capitals of the Baltic counties, harbours of Murmansk, Kaliningrad. Rout miles for general use is 1100 kÜ, length of motorway with hard surfice is 9900 kÜ. In Pskov an international airport is opened for airliners and freight carriers with carrying capacity of 250 t. Check-points at the border are controlled by the custom officials, car and railway check-points are opened. There is a river port in Pskov which can connect the region and the harbors of Estonia at the Peipsi coast (Tartu is the largest of them). The authorities of the region attach a special significance to the further development of the transport infrastructure which is justified by a unique location of the region (the region borders on three countries) and the distribution of the traffic flow (10% of the total traffic flow of Russia accounts for the region). Tasks set in this field include modernization and opening of new transport lines. Telecommunication infrastructure is well-developed in the region. Telephone network provides automatic connection with all the regions of Russia and other countries of the world. There are two companies providing mobile communication and other services within federal standards NMT-450 and GSM-900. Paging with 70 cities of Russia and CIS is provided by two companies. INTERNET (and other computer networks like ROSNET, ROSPAC, SPRINT) services are available throughout the whole region.
Today Pskov region maintain close relations with its neighbors: Byelorussia, Latvia, Estonia. Besides the region managed to retain relations with sister-cities in Finland (Kuopio), France (Arle), Germany (Gera and Noiss), Scotland (Pert), Sweden (Norrtelje), USA (Roanok), Byelorussia (Vitebsk), China (Mjanjan), the Netherlands (Nijmegen).
Today ancient Pskov has already started getting ready for its 1100 anniversary celebration. It’s rather hard to find another city in Russia where more than 300 monuments of XII – beginning XX centuries are preserved. Here one can enjoy more than 30 temples erected in XIY-XYII centuries. The Transfiguration Cathedral of Mirozha monastery is a “pearl” of Russian culture. It was erected in the XIIth century and painted by the Byzantine masters. Now it is the most complete fresco ensemble of the pre-Mongolian period in Russia. In the XYII cent. there was a revival of stone civil building in Pskov and a considerable number of the monuments of the period can be enjoyed today. One of these architectural ensemble built by the richest merchant Sergey Pogankin Pskov occupied by the state museum, where the greatest collection of Pskov icons of universal importance is kept. At the distance of 50 km from Pskov, Pskovo-Pechorski cloister is situated. It was founded in 1473 and has been functioning for 5 ceturies. The cloister got its name after underground caves in the solid sandstone. Due to the natural ventilation and a constant temperature, unique conditions for relics preservation of the people buried in the caves were naturally created. Mortal remains of the monks but also secular representatives of the most famous Russian families (Tatischevs, Kutusovs, Musorgskis, Pushkins) lie in the niche-crypt of the caves. Not far from the cloister one can enjoy a picturesque view of the fortress Izborsk which is an outstanding example of fortification art of Ancient Russia. Many towns of Pskov region - Porkhov, Opochka, Ostrov and others – represent unique monuments of building and fortification art. According to the expers’ estimation the degree of development of tourism potential development is only 10%. That implies that the region has great opportunities for the of international tourism, revenue the region may gain developing this field may equal industrial revenues. Our gegion is the only region in the Russian Federation where the law regulating the tourist activity is adopted. That guarantees the visitors of Pskov region high quality of the tourist service.