Today, the federal government representatives of Chechnya are based in Grozny. Reconstruction is progressing. By June 2006, out of more than 60,000 apartment buildings and private homes destroyed, 900 have been rebuilt. Out of several dozens of industrial enterprises, three have been partially rebuilt — the Grozny Machine-Building Factory, the Krasny Molot (Red Hammer) and Transmash factories.

The railway communication was restored in 2005, and Grozny's Severny airport was reopened in 2007 with three weekly flights to Moscow. Most of the city's infrastructure was destroyed and many continue to live in ruined buildings without heating and running water, even as electricity was mostly restored since 2006, as the city has undergone substantial reconstruction.[9] Before the war, Grozny had about 79,000 apartments, and the city authorities expect to be able to restore about 45,000 apartments; the rest were in the buildings that were completely destroyed.[10]

After four years of construction, the Grozny Mosque was formally opened to the public on October 16, 2008 and is considered one of the largest mosques in Europe. In 2009 the city of Grozny was honored by the UN Human Settlements Programme for transforming the war scarred city and providing new homes for thousands.[11

The city is divided into four administrative city districts: Leninsky, Zavodskoy, Staropromyslovsky, and Oktyabrsky. All of the districts are residential, but Staropromyslovsky district is also the city's main illegal oil drilling area, and Oktyabrsky district hosts most of the city's industry. Grozny was known for its modern architecture and as a spa town but nearly all the town was destroyed or seriously damaged during the Chechen Wars. It is home to Chechen State University and FC Terek Grozny, which after a 15 year absence from its hometown, returned to Grozny in March 2008. Also in Grozny is Chechen State Pedagogical Institute.

Transport

The first train pulled into the Grozny Railway station on May 1, 1893. On November 5, 1932, Grozny Tram was opened to the public, and by 1990 was 85 kilometres long, and 107 factory-fresh KTM-5 trams that it received in the late 1980s, and two depots. The Grozny Trolley, began operation in December 31, 1975, and by 1990 was approximately 60 kilometres with 58 buses and one depot. Both versions of transport came under difficult pressure in the early 1990s, with frequent theft of equipment, lack of pay to the staff and resultant strikes. A major planned Trolley extension to the airport was cancelled. With the outbreak of the First Chechen War both transport services stopped operation. During the destructive battles, the tram tracks were blocked or damaged, cars and buses were turned into barricades. The trolley was more lucky, as most of its equipment, including the depot survived the war. In 1996 it was visited by specialists from the Vologda Trolley Company, who repaired some of the lines, with service planned to be re-started in 1997. However after they returned, most of the equipment was stolen, and instead the surviving buses were transported to Volzhsky where they were re-paired and used in the new Trolley system.

After the Second Chechen War, little of the infrastructure of both systems was left. The created Ministry of Transport of the Chechen Republic in 2002, decided not to build the tram (rated as too expensive, and not answering to the city's needs, which lost half of its population since). The trolley however was more fortunate, and despite delays, Grozny hopes to open it by 2010.

Grozny is home to Russian Premier League club FC Terek Grozny. After winning promotion by coming 2nd in 2007 Russian First Division, Terek Grozny finished 10th in Russian Premier League 2008. The team is owned by Ramzan Kadyrov and play in the city's Sultan Bilimkhanov Stadium.