Kaliningrad region is the westernmost region of the Russian Federation completely separated from the rest of the territory of the country by land frontiers of foreign states and by international sea waters. It borders on Lithuania in the north and in the east, and in the south it borders on Poland. This is the only Russian territory which shores are washed by the waters of the open part of the Baltic sea and its lagoons – the Curonian and Kaliningrad lagoons.
       The region stretches from west to east for 205 km maximum, from north to south – for 108 km. The territory area totals 15.1 ths. sq. km.
       The regional administrative centre is Kaliningrad city founded in 1255 (until 1946 it was called Königsberg).
        The regime of the Special Economic Zone (SEZ) currently functions in the region. This regime is favourable for investors and entrepreneurship as a whole and allows the residents to have considerable tax benefits. The Federal Law dd. 10 January 2006 No 16-FL "On Special Economic Zone in Kaliningrad Region and on Introducing Changes into Some Legislative Acts of the Russian Federation" has taken effect since 1 April 2006. Adoption of this law has attracted new investors. This promotes accelerated development of the region and implementation of the main goal - to improve in five years the population's standard of living until it reaches the one of the neighbouring countries, and in ten years to raise it up to the one of the Western Europe countries' population.