Introduction. The country's research and innovation domain and its research potential constitute a definitive formative factor of the knowledge-based economy and are a strategic priority when it comes to the state's economic security and better quality of life for the population. However, despite the Russian government's substantial investment in research and innovation, the field remains underproductive. Methods. The article analyses the approaches and sources of funding for fundamental and exploratory research in the regions, and identifies the existing funding models for fundamental research. To this end, the general research methods were employed, such as scientific observation, scientific description of the subjects and objects of research, and scientific analysis. Results and Discussion. It has been determined that, under the current legislation, there are no opportunities for the regions of the Russian Federation to finance fundamental or exploratory research directly. The writer analyses the case of the Russian Foundation for Basic Research (RFBR), which holds regional competitions in basic research, and uses a model whereby the winning projects receive funding. The model involving a regional research foundation is recognised as the more successful option for the advancement of fundamental and exploratory research in the region. A comparative analysis of the regional RFBR and RSF competitions has revealed the following differences: in the RSF competitions, the regional side is almost entirely excluded from the decision-making process; there are high entry and project performance requirements, so the less advanced regions are forced to compete with the more scientifically advanced contenders. Conclusion. The positive side of the ongoing changes is that the level of research is rising, but at the same time the regions lose a certain important aspect of the fostering of regional researchers: the regional RFBR competitions were a pilot stage launched in order to understand and try out the grant funding system and requirements. And this is why the relevance of the regional research foundations is so high: they help to make up for these setbacks.
