Megatrends like climate change, technology, globalisation, and demographics are increasing economic and social disparities across OECD and EU regions. This has renewed interest in place-based policies that address local needs while supporting national competitiveness and cohesion. The report synthesizes expert insights to guide policymakers in designing and implementing effective place-based policies for sustainable regional development.

This paper examines how green and strategic investments can boost competitiveness and resilience in less-developed regions. Success in attracting such investments depends on regions leveraging assets like skills, SME connections, infrastructure, and innovation ecosystems. National governments are crucial in supporting sub-national efforts to attract investments and enhance national competitiveness.

The report presents lessons from regional case studies in five EU countries and Latin America, using a multidimensional OECD approach with over 50 indicators across six attractiveness domains. It helps policymakers understand regional challenges in the evolving global context shaped by COVID-19, the Ukraine war, and megatrends, highlighting uneven impacts. The report also emphasizes coordinated policy efforts and good practices to boost regional attractiveness to investors, talent, and visitors.

This paper presents the OECD’s new Regional Attractiveness Database at the TL3 level, offering detailed indicators to better understand local strengths and gaps. The harmonised TL2 and TL3 data include new dimensions like climate resilience and local amenities, while the TL3 Territorial Attractiveness Compass supports comparative, place-based analysis. Advanced tools such as the Coefficient of Variation and Local Moran’s Index help identify regional disparities and guide targeted policy actions to boost competitiveness and development.

To be impactful, the Recommendation must be put into action. The Implementation Toolkit helps countries do this by offering concrete steps, good practices, and examples to support the ten pillars of the Recommendation. Designed as a living resource, it supports all levels of government and will evolve over time to reflect new developments and guide progress on regional and sustainable development.

Innovation goes beyond science and tech, but policies often focus narrowly on high-tech areas. This is a challenge for rural Canada, where many firms lack capacity for such innovation. This report explores broader approaches to rural innovation, including entrepreneurship, green transition, and better services.

Key Resources

OECD Regional Development Studies | Report

Place-Based Policies for the Future

OECD Regional Development Papers | Working Paper

Attracting FDI in regions

OECD Regional Development Studies | Report

Rethinking Regional Attractiveness in the New Global Environment

OECD Regional Development Papers | Working Paper

A granular approach to measuring regional attractiveness

Implementation Toolkit

OECD Recommendation on Regional Development Policy

OECD Rural Studies | Report

Enhancing Rural Innovation in Canada

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