Territorial Endowments for Long-Term Development of Local Communities at the VII Northern Sustainable Development Forum

During the VII Northern Sustainable Development Forum, held in the first decade of October 2026 in Yakutsk, the PORA Expert Center organized a roundtable on the topic: «Territorial Endowments as a Tool for Long-Term Development of Local Communities.» Participants discussed the possibilities for creating and operating territorial endowment funds (TEFs), models for their management and interaction with public authorities, business, and local communities.

Particular attention was paid to attracting long-term investments, ensuring a balance of interests between donors and residents of the territories, and delineating extra-budgetary financing from budgetary support mechanisms. The discussion also covered the conditions for launching pilot projects, prospects for scaling up territorial funds, and opportunities for their application in addressing socio-economic challenges of the regions.

Maksim Tsygankov: TEFs as a Source of Resources for Long-Term Development

Maksim Tsygankov, Head of the Analytical Block at the Project Office for Arctic Development, proposed focusing the discussion on the directions for developing endowments and the changes that would increase their contribution to the life of the territories. He noted that the current model of municipal financing largely depends on inter-budgetary transfers. These funds ensure the fulfillment of current tasks, but they cannot always be relied upon as resources for projects that create new opportunities for residents.

According to Tsygankov, territorial endowment funds could serve as one of the additional sources of long-term financing. Their potential is linked to supporting development projects, reducing dependence on external risks, and engaging business in achieving national goals through corporate social responsibility.

The speaker identified three areas for improving territorial endowments: forms of management, motivation of participants, and new sources of financing. He paid particular attention to the issue of enshrining their status in legislation. The expert proposed discussing two approaches: adapting existing norms to the tasks of territorial development, or establishing the territorial endowment fund as a separate category with specific characteristics, operating conditions, and incentives. The purpose of such a discussion, in his view, is to develop a coordinated position or identify issues requiring additional justification.

Maksim Dankin: How the Endowment Fits into PORA Expert Center’s Work

Maksim Dankin, General Director of the Project Office for Arctic Development, explained the significance of endowments using PORA’s grant program as an example. According to him, the organization annually allocates 4–5 million rubles from its budget to support projects related to Indigenous peoples’ culture, scientific research, expeditions, and media products. Forming an endowment allows for building a long-term model in which investment income becomes a source of support for such initiatives, the PORA General Director emphasized.

Dankin noted that territorial endowments require planning years in advance. They cannot solve all infrastructure tasks, but they can help ensure sustainable financing of certain territorial needs. As an example, he cited social facilities built with business support and transferred to municipalities. After their construction, ongoing maintenance costs arise, for which funding sources must be provided in advance.

Speaking about legislative changes, Dankin noted that existing organizational mechanisms already allow for the creation of funds, and their operation largely depends on trust among participants. Therefore, in his opinion, the introduction of a separate status should be accompanied by concrete opportunities: incentives for businesses supporting the territories where they operate, and coordinated legislative changes.

Experts on Territorial Endowments as a Source of Long-Term Financial Stability

Representatives of endowment funds («Our Norilsk,» «The Target Fund for Future Generations of the Republic of Sakha (Yakutia)»), business, municipalities, and the banking sector who participated in the session discussed a number of other issues related to the development of territorial endowment funds.

In particular, banking representatives emphasized that territorial endowments, being essentially a strategic source of stable long-term liquidity, can play an important role as a tool for achieving national goals of increasing the capitalization of financial organizations.

Experts also noted the growing demand from municipalities for creating endowments. Various ways of expanding funding sources are already being considered: for example, Aleksandr Bolshakov, Head of the rural settlement of Oktemsky Nasleg (Khangalassky District of the Republic of Sakha (Yakutia)), proposed studying the mechanisms of initiative-based self-taxation of citizens as one of the possible sources of financing for territorial endowment funds. According to Maksim Tsygankov of PORA, such proposals indicate that an understanding of the context of the issue is forming at the level of municipal authorities, and a real demand for such instruments is emerging.

At the same time, experts noted existing limitations, primarily of an organizational nature. In particular, speakers said that municipal heads are not always able to carry out the operational procedures for creating and maintaining such funds.

Based on the results of the session, proposals will be prepared for changing the regulatory and legal framework to institutionalize the practices of functioning of this instrument. The Target Fund for Future Generations of the Republic of Sakha (Yakutia) will also consider the issue of creating a regional platform for territorial endowments.