Innovation development of a cross boarder region in relationship with neighbouring territories of foreign states

The author proves that the use of various forms of integration relationship between economic systems of different levels serves as a major driving force of the territories' self-actualization and development, builds their capacity and provides more effective use of their competitive advantages. Innovation economy depends on policy and includes seven main components, each having achieved competitiveness which meets globally used criteria. They are as following: innovation capacity, which involve education and science; human capital, institutional innovation system with a relevant legal framework; innovation infrastructure and highly organized forms of economic subjects interaction; including innovation centres, technoparks, technopolices, clusters, venture business, etc.; innovation industry; agriculture and agro-industrial complex; favourable environment for human capital to function. Level and trends of Republic Kazakhstan and Russia regions' innovation activities are assessed, priorities for cooperation between universities and enterprises of cross boarder territories are revealed.