Subject The article considers the program for investment projects implementation in the Russian Federation, embracing the petrochemical industry. The monitoring of the program implementation showed that in conditions of limited financial resources it is impossible to implement all planned projects. It is crucial to select priority projects and focus the efforts of the State, companies and regional structures on their implementation. Objectives The aim is to develop an approach enabling to choose the most effective projects that would ensure continuous and smooth growth of the industry under scarce financial resources. Methods I employ methods for selecting priority investment projects in conditions of limited financial resources. They take into account the presence of positive agglomeration and multiplicative effects. The agglomeration and multiplicative effects are investigated for the most large-scale projects at the qualitative level. Results I analyzed the implementation of the major investment program for the domestic petrochemical industry development. The paper demonstrates that limited financial resources prevent from fulfilling the program. It is important to select priority projects. An attempt is made to investigate potential agglomeration and multiplicative effects when choosing the most significant projects. Conclusions The investigated impact of agglomeration and multiplicative effects on the performance of investment projects shows that in conditions of scarce financial resources, it is essential to choose priority projects that will ensure progressive development of the Russian petrochemical industry.
Keywords: government program, priority project, agglomeration effect, multiplicative effect
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