The distinguishing feature of the Russian urban settlement is the high degree of localization of the population inherent to most regions of the country. Dynamics of the population is one of the most important indicators of the competitiveness of cities. Urban growth usually means favorable investment climate, the availability of jobs and higher salaries. The analysis, made by article's authors revealed significant differences in the population dynamics processes in medium and large cities of Russia for the period between the population censuses of 1989 and 2010. They are due to territorial heterogeneity of socio-economic development, caused by open market and globalization processes. The causes and characteristics of different urban growth depending on the administrative status, location and specialization of the economy are disclosed. The main indicator of the sustainability of urban development, according to the authors, is the migratory behavior of the population. The grouping of cities according to the dynamics of the urban population is also given. Refs 7. Figs 3. Tables 2.