Limitations and Development Prospects of Domestic Tourism in Russian Regions

In the context of budget insufficiency and the current economic crisis, it is necessary to deter- mine alternative sources for the development of Russian regions. Domestic tourism can be considered as such, since it has a multiplier effect of the complex modernisation of territories. The study aims to assess the tourist attractiveness of Russian regions and analyse limitations and development prospects of do- mestic tourism in modern conditions. The methods of questionnaire survey of the heads of Russian munic- ipalities, expert interviews, economic and statistical analysis of regional development indicators were ap- plied. The study used a multistage stratified area random sample. The sampling units were Russian regions at the first stage and municipalities at the second stage (N=306). The analysis of statistical data revealed an increase in the number of accommodated persons, indirectly indicating the growing attractiveness of domestic tourism. However, more than half (50.7 %) of the accommodated persons visited Krasnodar Krai, the Republic of Crimea, Moscow, Saint Petersburg, Moscow oblast and Leningrad oblast. Experts noted the following limitations to the development of domestic tourism: insufficient accommodation facilities, poor quality of rooms, unsatisfactory condition of heritage sites, insufficient financial resources, including pri- vate investment. They also stated that in the shortage of financial and infrastructural resources, regional social resources should be utilised to develop domestic tourism, namely: commercialised hospitality; pro- motion of tourism products by the local population through social media; micro-entrepreneurship in the private rental market. Regional and local authorities can use the obtained findings to increase the com- petitiveness of tourism products and services. Further research may focus on examining the effectiveness of regional programmes for the development of domestic tourism and expanding the range of tourist of- fers involving local initiatives.