The object of the study is to monitor the economic development of territories. As a result, a detailed analysis revealed the absence of a single action algorithm for diag-nosing the economic development of territories. As a result of the analysis of the ter-minological apparatus, the essence of monitoring the economic development of territo-ries is clarified, by which is meant the process of measuring, fixing, evaluating, con-trolling, analyzing and forecasting key characteristics based on information technolo-gies and intended for current and strategic goals of managing the country’s territory. The paper proposes a model for the formation of an information-analytical system for monitoring the economic development of territories, based on the use of IDEF0 func-tional modeling and includes a specific set of stages, each of which solves a set of tasks with an indication of mechanisms and tools. The practical implementation of a functional model for the formation of an information-analytical system for monitoring the economic development of territories will effectively organize the collection of information, objectively assess the dynamics of changes in the regions, and also forecast the development of economic processes in the country.
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