Ensuring sustainable and inclusive development of regional economies stands as a central challenge for contemporary economic policy and regional planning. This paper develops the theoretical foundations for econometric modeling of regional development, aiming to provide a rigorous methodological framework for quantifying growth drivers and producing reliable forecasts of regional economic performance. The primary objective is to specify and justify econometric models that capture both the long-run relationships and short-run dynamics among core regional indicators (GRDP, industrial output, retail turnover, investment inflows, employment and income levels, and institutional variables). The theoretical discussion integrates perspectives from neoclassical growth theory, endogenous growth models, institutional economics and evolutionary economics to frame the empirical strategy

This article scientifically examines the role of innovation policy in accelerating regional socio-economic development. In the context of globalization and digital transformation, it emphasizes that third-generation policies aligned with regional innovation systems (RIS) and the United Nations Sustainable Development Goals (SDGs) serve as a key factor in ensuring economic growth. The study is based on systematic literature review (SLR) methodology and analyzes a number of research works published in recent years in the Scopus, Web of Science, and ResearchGate databases. The results indicate that innovation policy, as exemplified by the European Union (S3 strategies) and China (MLP programs), increases GRDP by 5-15%, enhancing employment and competitiveness, although institutional constraints and polarization risks persist in less developed regions. The conclusion demonstrates that the effectiveness of the policy depends on R&D investments and university-industry collaboration. Among the recommendations are increasing subsidies and introducing flexible conditions, while future research should focus on developing countries.