The territory of Zakarpattya region covers 12,8 thousand square kilometers, its population - 1288,2 thousand of people (on 01.01.99). It is a little more than 2 percents of the territory and population of Ukraine. In cities lives 502,7 thousands of people, in rural area - 785,5 thousands of people.

The region today consists from 13 administrative districts, 10 cities, (4 cities under the regional subordination (Uzhhorod, Mukachevo, Khust, Berehovo), 20 settlements of an urban type, 579 rural settlements.

Transcarpathia is the region of high density of population and has large surplus of labour force. Here lives 107 persons on 1 square kilometer. The disproportion between an existing labour force and requirement for it is one of the causes of labour migration development. The number of actually unemployed population constitutes more than 350 thousand.

The nature of the region is rich and diverse. The greatest value are forests. Forests cover the territory of more then 50 %, and forest’s  fund constitutes 687 thousand ha. Natural structure of Carpathian forests is rich enough, dominate firm-leafage 62,2 % (oak, beech, merry and other) and coniferous (29,9 %). The general amount of  wood constitutes 157,8 million cubic meter, including mature breeds - 37,04 million cubic meter.

The  source of raw materials of area is presented approximately 150 fields more than 30 kinds of minerals, among which are nonconventional for Ukraine (polymetals, rocks alum, perlites, zeolites).

Among of non-metallic minerals considerable are the reservoirs of a rock-salt of Solotvino field, which constitute 3,5 billion tons. Are very perspective for development unique in Ukraine reservoir of zeolites, forecasted reserves of which are 1 billion tons. In Bihan field of rocks alum is reconnoitered 5,7 million tons of barytic ores, suitable for receiving drill fluids at passing deep wells, including on petroleum and gas.

High estimation in the world market there is a germanium, which is used as the semiconductor in a modern radio electronics, instrument making, space technology and other branches. The affirmed fields that are not are operated for the present constitute  850 tons, forecasted - 1900-2000 tons.

The region has large opportunities for development of a porcelain-faience industry, raw material for which is the kaolin. Zakarpattya kaolins reservoirs exceed 5 million tons, are exclusive on the whiteness also have no similar in Ukraine, and its elemental composition resemble kaolins of China.

The region is unusually rich by raw material for building industry. 13 fields of carbonaceous raw materials (marbled chalkstone, dolomite, marble) are reconnoitered, which are used as the facing material, decorative chip, calcareous flour, building chalkstone.

Considerable hopes are assigned on commercial production of gold. In 1995 the Government of Ukraine has accepted the Decree "About development of Muzhievo field of gold ores". The plan of industrial development of the field was conducted, and first turn of this field was handed over in operation. A designed capacity of the field is approximately 480 thousands tons of ore.

Transcarpathia is rich by mineral and thermal waters, unique on the medical properties and powers. Is retrieved and studied more then 360 sources of mineral waters miscellaneous on an elemental composition and medical properties by the general debit about 10 thousand m³ per day, which do not concede to well-known waters of Caucasus, Czechia, Poland, France. In region is used more than 30 of them, including 12 sources of mineral waters, reserves of which (4334,4 m³/day) are affirmed by a State commission on mineral resources.

The mineral waters having perfect gustatory qualities, are consumed as medical in sanatoriums.

The region has favourable climatic conditions, high nature-recreational potential, it has massed 5,2 % volumetric and 5,1 % of a cost Ukraine’s potential of natural recreation resources.

The region is rich by surface waters of high quality, the acute deficit of which is felt in all southeast Ukraine. On rivers of region is massed almost the fourth part of  Ukraine’s energy potential, which opens possibilities for development of small hydropower.

Transcarpathia is known as one of most popular corner for treatments and rest. The sanatoriums and tourist complexes totals 128 establishments, where simultaneously can rest and be treated 18,1 thousands of persons. In providing of tourist services is engaged about 100 subjects of different types of ownership.

In structure of the commercial production the first place is occupied by the food-processing industry -34,1 %, wooden and wood-processing - 26,3 %, engineering and metal working - 10,7 %, flavour-grinding and croup industry - 6,6 %.

Branches of industrial specialization is the wood and wood-processing industry (production of furniture, saw-timbers), wood-chemistry (products of timber processing), food-processing industry (production of guilt, cognac, canned fruits), engineering (metal-cutting machine tools, electric motors, fixture pipeline, other items), industry of building materials (production of breakstone, facing materials), light industry (footwear, headgears, sewing and knitted items).

The potential of building branch of industry is 105 construction, 27 repair-building and 8 design and survey organizations. Besides these constructing works were conducted by 169 small enterprises and 36 cooperative societies.

The region has well-developed transportation network, which actuates railway (broad and European track pit), automobile, air and pipeline transport, wide network of power communications, international telephone station "UTEL" and mobile radio communication.

The more and more development receives the small business. 7200 small enterprises are registered,  about 20 thousand businessmen - physical persons.

The regional state administration intensified work on furtherance of investment activity on territory of region.

Directory of investment offers of the enterprises and organizations of Zakarpattya is prepared and issued, dispatched to embassies and trade agencies of Ukraine abroad, which was distributed on the international forums and business meetings with the foreign partners.

The structural changes in an industry promoted the dynamic development of foreign trade activities. For January - November 2001 the external economic turnover of the goods has increased in comparison with the appropriate period of the previous year on 26 % and was $450,5 mln, and positive saldo of foreign trade in the goods - $17,1 mln. The basis of export is made by the goods of such groups, as wood and products of it, furniture, electrical machines, textiles and textile products. The export-import transactions in region do more than 500 enterprises with 73 countries of the world.

Most of all is invested to wood-processing and pulp and paper industry, food-processing industry, trade and public catering, industrial kinds of consumer services of the population, light industry, forestry, electric power industry.

The further activating of work on increase of the investments in economy of region was promoted by realization of the Laws of Ukraine "About a special regime of investment activity and "About the special economic zone “Zakarpattya".

On May 15, 2000 from the subjects of enterprise activity of region has received by Regional State Administration the 43 applications on realization of the investment projects in priority kinds of economic activity, from which by expert Council were approved 41 projects on a total sum 181,9 million US dollars, including foreign - 152,8 million US dollars, or 84 % from all, internal 36,3 million US dollars or 16 %. The realization of these projects will allow to create 8,3 thousand new working places.

On January 1, 2002 in region are signed 62 contracts on realization of the investment projects in priority kinds of economic activity on a total sum of $204,3. The realization of these projects will allow to create 10 thousand new working places.

Basic directions of realization of investment activity at the enterprises of region are: introduction of the newest technologies, progressive process equipment, know-how, adjusting of production of high-quality and competitive products, maintenance of new working places creation.

The attracting of the investments will promote in nearest 15 years creation about 50 thousand new jobs, which will ensure crossflow of a labour from the enterprises of key economic branches, which are re-structuring.