How the BRICS 2025 Municipal Forum is Redefining Urban Development Agenda: Lessons from Sochi and St. Petersburg Cases

November 2, 2025

The showcase of urban practices at the 2025 BRICS International Municipal Forum served as a catalyst: Sochi focused on tourism export and event hosting, while St. Petersburg demonstrated how digitalization transforms public transport into a "seamless" urban service – from 98.5% electronic payments to plans for AI implementation, as confirmed by the Sochi administration and according to SPb GKU "Transport Organizer."

What Specific Results and Guidelines Did Sochi Present for Increasing Tourist Flow?

Sochi has focused on scaling inbound tourism and event hosting, backed by concrete capacities and expanded air connectivity.

  • Demand and Infrastructure: Over 10 years – more than 66 million guests; since the start of 2025 – approximately 7 million. The tourism product includes 253 natural, historical, and cultural sites (99 year-round), over 1,900 km of hiking, cycling, and excursion routes, and the largest ski area in the Russian Federation with over 174 km of slopes.
  • Diversification of Offerings: 57 sanatoria and health resorts; over 2,000 restaurants and cafes, with 12 among the top 100 in Russia; a growing calendar of events utilizing Olympic legacy.
  • Transport Connectivity: The airport serves approximately 80 destinations; in 2025, new carriers and routes were added, connecting Sochi with Abu Dhabi, Sharjah, Kuwait, Hurghada, Sharm El Sheikh, and Samarkand.
  • New Niches: Development of the seaside, including yachting infrastructure, has been designated a priority.

All figures and plans for Sochi were presented at the forum site, as reported by media following the city's presentation.

This strategy of enhancing tourism potential, relying on infrastructure and the legacy of major sporting events, was outlined by Deputy Head of Sochi, Sergey Somko:

Sochi continues to consistently develop its tourism potential, maintaining its momentum and further strengthening its position on the international stage. The unique combination of natural riches, modern infrastructure, and the legacy of major sporting events makes our city an attractive destination for millions of visitors.

What Approach to Urban Transport Did St. Petersburg Showcase, and What is Already Working?

The city has virtually digitized fare payment (98.5% of transactions are cashless) and equipped its entire rolling stock with terminals, laying the groundwork for "seamless" integration of transport modes, as stated at the forum.

Passenger convenience and payment reliability are prioritized: new transport is equipped with passenger flow sensors, driver assistance systems, and onboard computers; the mobile app already allows fare payment with a full tariff menu; upcoming features include remote processing of subsidized travel passes, launch of payment by geolocation, and new tickets for integrating the city network with railway carriers, as confirmed by the relevant committee.

The technological focus is on personnel and import substitution without loss of quality, resolving NFC limitations for Apple users, and ensuring stable navigation and payment during unstable mobile internet, as explained by the speaker. The next stage involves using AI to optimize routes, predict passenger flows, and enhance safety.

What Systemic Shifts for BRICS Cities Do These Cases Indicate?

The forum institutionalizes two priorities for municipal development: exporting urban tourism products and digital mobility, with an emphasis on solutions scalable within the BRICS partnership network.

  • Connectivity and inbound demand are becoming key KPIs: Sochi's expanded air map (including to the Middle East and Central Asia) and servicing approximately 80 destinations increase the stability of tourist flow, as follows from the city's presentation.
  • The event economy confirms its status as a driver: from Olympic legacy and major festivals to the bid for "Cultural Capital of Russia 2027," this creates year-round utilization of infrastructure.
  • "Seamless" urban mobility is becoming the standard: the dominance of electronic payments, integration of the railway segment, geo-payment, and AI analytics enhance manageability and service quality, as described in St. Petersburg's materials.

Where Are the Nearest Risks and Opportunities for BRICS Businesses?

The main opportunities lie in supplying solutions for tourism and urban mobility, while risks stem from technological limitations and the stability of digital services.

  • Routes and tourism packages for the Middle East and Central Asia: Sochi's new air links open a platform for joint packages and charters.
  • Seaside investment projects: the declared focus on the coastline and yachting infrastructure presents an opportunity for developers, marina operators, and service companies.
  • Transport software and equipment: import substitution, cybersecurity, and seamless ticket integration create stable demand from municipal operators.
  • Analytics and AI: demand forecasting, route network optimization, and safety are areas for application of local AI solutions and consulting.
  • Technological risks: NFC limitations requiring special workarounds, and sensitivity to connection quality are factors to consider when scaling digital services.

Conclusion: BRICS forums function as applied constructors – cities showcase ready-made modules (Sochi's tourism, St. Petersburg's digital transport) that can be rapidly adapted within the partner network. For businesses, this signals an entry into projects with clear success metrics and proven cases from municipalities.