VOLOGDA OBLAST

An administrative region of the Russian Federation. Measuring more than 700 kilometers from east to west, Vologda Oblast occupies 145,700 square kilometers of northwestern European Russia. It is part of the NorthernEconomic Regionand the NorthwesternFederal District. The population of theoblastis 1.2 million; it borders theRepublic of Kareliyaand the oblasts ofArkhangelsk,Kirov,Kostroma,Yaroslavl,Novgorod, andLeningrad. The region sits on Lake Onega in the northwest and Rybinskoye Reservoir in the southwest, and includes a number of other large lakes including Ozero Beloye (White Lake) and Ozero Vozhe. The main rivers are the Sukhona, Yug, Sheksna, and Mologa. Accompanying its geographic attributes, the region is rich in historical sites, including the Kirillo-Belozersky monastery and the UNESCO-recognized Ferapontov convent, making the region an importanttourismdestination.

The regional capital, Vologda (pop. 293,000), is not the largest city in the region; instead Cherepovets (pop. 311,000), an important steeland chemical-producing center within Russia, wields that distinction. Despite its northerly location, Vologda’s agribusiness sector is well developed and produces milk, meat, and eggs, as well as world-famous butter. Inindustrialterms, metallurgy is the most important sector. The region excels at producing steel, fertilizers, timber, and linen, and is a leader in terms of industrial goods among Russia’sfederal subjects. OAO Severstal is Russia’s largest producer of rolled metal.

Vologda is internationally recognized as one of the most stable regions in Russia forforeign investment.Companies fromFinland,Germany, Sweden, Switzerland, and theUnited Statesare particularly active in the region.

In 1996, Vyacheslav Pozgalev, a former manager at the Severstal, won election to the post of governor; he had been appointed byBorisYeltsinshortly before the election. Pozgalev was reelected with a strong mandate in 1999. In the early 1990s, Pozgalev had been part ofYegorGaydar’s Russia’s Choice movement. An economic liberal, his platform was built on economic stability, attraction of foreign capital, and avoidance of scandal andcorruption(his predecessor, Nikolay Podgornov, was removed for taking bribes). Throughtaxbreaks and other incentives, he turned Vologda into an attractive destination for foreign companies. He also supported women’s rights andmediafreedom.

In the late 1990s, he joinedKonstantinTitov’s Russia’s Voice (Golos Rossii) movement. He was able to hold onto his position throughout both administrations ofVladimir Putin(who nominated him for reappointment in 2007), and has a good working relationship withDmitry Medvyedev. Pozgalev is one of the few regional executives who actively support the appointment of governors by the president. In recent years, the region has expanded its relationship withBelarus, including building a steel mill and developing a number of joint projects.