This publication summarises the main findings of a series of high-level expert workshops, organised with support by the European Commission, to deepen the understanding how OECD countries can move towards a broad‐based form of innovation policy for regions and cities. Weaknesses in technology and knowledge diffusion are weighing on productivity growth and innovation in OECD countries, particularly in firms that are distant from the technological frontier (global or national). This in turn weakens their capacity to meet future challenges and undermines inclusive growth.

This report builds on work presented in the OECD’s 2019 report Regions in Industrial Transition: Policies for People and Places. It considers industrial transition as a complex and enduring challenge in regional development that traditional policy levers have not always been unable to satisfactorily address.

To make the most of its longstanding tradition of manufacturing and innovation, Piedmont, Italy, is undertaking a process of industrial transition, the success of which may be linked to an updated approach to its regional innovation policy. This should include promoting technology and non-technology driven innovation, building the innovation competences of micro- and small enterprises in addition to medium and large ones, better connecting regional innovation actors, and ensuring that innovation contributes to the region’s broader development goals such as sustainable regional development.

This report synthesises the regional development and innovation challenges facing Romania’s RDAs and potential activities to overcome these in three areas – strategic planning and performance measurement, finance and implementation, and communication and stakeholder engagement.

This report, Regional Outlook 2023 – The Longstanding Geography of Inequalities, provides novel evidence on the evolution of inequalities between OECD regions across several dimensions (including income and access to services) over the past twenty years.

Labour markets across the Netherlands recovered quickly from the COVID-19 shock and Dutch cities are now facing an unprecedented level of labour market tightness. The high demand for workers presents a unique opportunity for Dutch municipalities to find pathways into employment for those with the lowest labour market attachment and alleviate the pressure faced by local employers that struggle to find suitable workers.

Subnational governments carry out more than 60% of total public procurement in OECD countries. As such, public procurement can offer a powerful tool for cities to boost local growth and advance their strategic priorities, ranging from innovation and inclusion to the transition to a low-carbon economy.

What is innovation and how should it be measured? Understanding the scale of innovation activities, the characteristics of innovative firms and the internal and systemic factors that can influence innovation is a prerequisite for the pursuit and analysis of policies aimed at fostering innovation.

This report presents the OECD analytical framework for measuring well-being at the regional level, as well as internationally comparable indicators on 9 well-being dimensions for 362 regions across 34 OECD countries.