Innovation potential of regional economy as a basis to build Russia's national innovation system

The paper focuses on innovation development of the Russian economy and formation of the national innovation system that ensures effective use of innovation potential and incentives for its growth. To build single innovation environment of the South Federal District aimed at effective innovation potential implementation within regional innovation systems it is recommended to strengthen integration of regions, public authorities, educational and research institutions, and industrial enterprises. Innovation potential implementation at the regional level has become a priority for state and local authorities which allows to set a path towards sustainable economic growth.