scholarly journals PROBLEMS AND WAYS TO ACTIVATE INVESTMENT ACTIVITY IN UKRAINE

Author(s):  
Анастасія Говеля ◽  
Ірина Чекмасова

The article examines the current state and problems of the development of attracting foreign direct investment. The author determined that the most investments in Ukraine are made by such countries as Cyprus and some countries of the European Union. It is proved that foreign investment is one of the most effective ways to develop economic, social, environmental and other spheres. It is determined that the key problems in attracting foreign investment today are: political instability, legislation, high inflation, and undeveloped infrastructure. The author has identified trends and explored the prospects for the development of attracting foreign direct investment, which allows us to demonstrate the dynamics of investments, which is considered an indicator of changes in the level of trust and rating of the country as a whole. Foreign investment plays a major blow to the economic development of many countries. Raising in the economy largely provides effective investment activity of Ukraine, which works by showing the dynamics invested in the country, so the investment climate in any country stands out from the main factors of socio-economic activity. situation. Thus, projects, innovative investments can be of great benefit for the economic development of the country, help to solve economic problems, so attract investors necessary and justified. In order to increase investment attractiveness, the country needs to implement a set of measures on the part of states and affairs, and as Ukraine has a strong production potential, thus concentrating the enhancement on the realization of its competitive advantages. It is concluded that the main directions of increasing the efficiency of investment activities, now and in the near future, will be: new modern infrastructure, improved investment, attracting foreign investors and improving the tax system. To improve the investment climate in Ukraine and increase the flow of foreign investment, it is necessary to promote the development of science, improve the regulatory framework in the field of investment, participate more actively in international investment projects, and develop small and medium-sized businesses in Ukraine.

2020 ◽  
Vol 11 (2) ◽  
pp. 645
Author(s):  
Natalia V. TRUSOVA ◽  
Tetiana A. CHERNIAVSKA ◽  
Yurii Y. KYRYLOV ◽  
Viktoriia H. HRANOVSKA ◽  
Svitlana V. SKRYPNYK ◽  
...  

The article deals with the theoretical, methodological and practical aspects of ensuring a safety level the investment attractiveness of the world countries economy in the polystructural space of foreign direct investments. In the context of the implementation of investment policy and factors in the field of international investment, an optimization model of the investment attractiveness of the national economy has been developed. The aggregate factors of the investment attractiveness index, which characterize the investment climate, investment activity and the state of economic development of the country, are highlighted. A methodical approach is presented to determine the synergistic impact of foreign direct investment on the country's investment attractiveness indicator. The criteria of normalization of investment attractiveness of the economy of the country by indicators of macroeconomic, monetary and currency status, which are formalized by indicators-stimulators, destimulators and interaction of bilateral boundary constraints are proposed. The criteria of identification of risks and threats of safe and dangerous state of development of the economy of the countries by the methods of prognostic extrapolation of foreign direct investment are taken into account. A comparative assessment of global foreign direct investment flows and global GDP, the value of net sales of cross-border mergers and acquisitions was made. The structure of foreign direct investment by regions of the countries of the world is considered, taking into account their external reserves of investment potential. The indicators of investment attractiveness of the Ukrainian economy and its cooperation with EU countries in terms of the volume of inflow and direct investments are presented. The scenarios for the growth of foreign direct investments in the polystructural space of the world and developing countries are proposed.  


2021 ◽  
pp. 160
Author(s):  
Vadym Maslii ◽  
Sviatoslav Pytel

Introduction. Foreign direct investment occupies a significant place  in financial flows and creates tools through which stable and long-term ties between countries are formed. Investment flows, which are both balanced and geographically and conjunctively disproportionate, can have positive and negative consequences for the host country’s economy. Particular attention should be paid to the qualitative parameters of the foreign investment process, which include the country of origin of investments, that is, their geographical location.Purpose. The purpose of the article is a comprehensive study of the geographical structure of foreign direct investment in Ukraine throughout the time-period of our country’s existence as an independent participant in the process of foreign investment.Method (methodology). In the process of researching the selected topic, the following methods were used: monographic – in order to study the results of existing analytical research, the object of which is the process of foreign investment in Ukraine and its aspect as the geographical structure of foreign investments is investigated; method of calculating the relative values of the structure – for the research of the geographical structure of foreign direct investment in Ukraine, which made it possible to abstract from a specific numerical expression of the volume of parts of the population; tabular – for submission of analytical information about the object of research; graphic – for visual presentation of the obtained statistical data on the geographical structure of foreign direct investment in Ukraine. Results. International investment activity has a significant impact on the geographical structure of FDI in Ukraine. During the study period (1995 - the end of 2019) the main investors were European countries. They exported to Ukraine annually about 50 % of the total invested capital, and in 2006-2011s, this figure reached 70 %. Investments from the European Union play a crucial role in Ukraine’s foreign direct investment process.According to the research, over the past 25 years there have been significant transformations in the territorial geographical structure of FDI in Ukraine. First of all, the number of investor countries has increased and the role of leaders, such as the United States, Germany, and the United Kingdom, has decreased. The role of investments from offshore countries and countries equated to them, such as Cyprus, Belize, the Bahamas, the British Virgin Islands, the Netherlands and others, has significantly increased. If in early 1995 the share of investments from these countries was about 11%, then at the beginning of 1998 this figure was 20 %, at the beginning of 2008 - 33%, at the beginning of 2011 – 51 %, and at the end of 2019 - 60 % respectively. It should be noted that there is no significant investment from South America, such as Brazil, Mexico and Venezuela, the industrialized countries of East and Southeast Asia and China, which is one of the 10 leading countries in the world. In this direction, promising investment cooperation should be expanded by concluding investment agreements taking into account the interests of future investors.Perspectives. In our opinion, promising in the future are studies of sectoral and territorial structure of FDI in terms of the largest countries of investors, assessment of their impact on the economic development of Ukraine in order to make effective management decisions in attracting foreign investors.


Author(s):  
Larisa Germanovna Chuvakhina

The article highlights the current problems of investments in the development of the world economy, when international investment needs are significantly high. The priority is given to the issues of investment resources for achieving the goals of sustainable development of the world economy. It has been stated that for creating the effective economic policy, the countries need to attract foreign investment. The current trends in the development of global market for foreign direct investment flows are examined. The flows of global foreign direct investment in 2017-2018 are analyzed. Special attention is given to the study of the US investment policy. The reduction in US investments into the Russian economy in terms of the sanctions policy against Russia is marked. The changes in the investment policy of the administration of D. Trump in terms of strengthening American protectionism are underlined. The issues of US-EU investment cooperation are considered. The role of the US Federal Reserve in regulating the activities of foreign companies in the US market is defined. The main decisions taken at the X World Investment Forum of the United Nations Conference on Trade and Development in October, 2018 are considered. The role of investment promotion agencies is defined as one of the tools to attract foreign investments into the country's economy. The decrease in the level of international investment and increased competition between countries for attracting foreign investment is stated. The study confirms that the investment attractiveness of the country, stability of the national financial system, and legal security of business play a decisive role in attracting foreign direct investment.


2020 ◽  
Vol 7 (3) ◽  
pp. 78-88
Author(s):  
Antonina Tomashevska

One of the key tasks of the current government is to develop the regions and strengthen their economic potential. One of the most important factors of economic growth is investment. For Ukraine, which is in a crisis pit, the issue of attracting foreign investments is especially important and relevant, as they have a significant impact on the economic development of the country. At the same time, the largest degradation in Ukraine today is investment activity, which is also due to the outbreak of COVID-19. Deterioration of the investment climate, the possibilities of budgets at all levels, the decline in business activity of economic entities have led to a difficult state of the investment sphere. The article analyzes the investment attractiveness of the regions of Ukraine. A special role is focused on the factors (positive and negative) that affect the formation of the investment climate of the regions: positive - geographical location, labor resources; negative - unfavorable climate and corruption. One of the indicators that reflects the stable economic development of certain sectors of the economy, as well as the country's economy as a whole is the investment potential of the regions. The investment and foreign economic policy of Ivano-Frankivsk UТС is analyzed, which is aimed at improving the image at the regional and international levels, promoting a significant increase in domestic and foreign investment in economic development, the implementation of active information and promotional activities. In the city, foreign investment is about 580 million dollars. US dollars, of which almost 80 million dollars. USA - loan capital. During the study, we analyzed the largest enterprises in Ivano-Frankivsk, including foreign investment, LLC “Electrolux Ukraine”, LLC “Tyco Electronics Ukraine Limited”, SE VO “Karpaty” (Delphi project), LLC “Imperial Foods”. The method of expert assessments indicates promising areas of business development of Ivano-Frankivsk UТС. In the course of the research we suggested ways to improve the investment attractiveness of Ivano-Frankivsk UТС.


Author(s):  
Badreddine Berrahlia ◽  

The article explores the recent debate regarding the rules of sovereignty and the need to acquire technology through Foreign Direct Investment (FDI) in relation to the Algerian Business Law. The article explores the 51/49 rule as an obligatory condition for direct international partnerhip projects, which requires a majority of Algerian ownership of at least 51 percent in all foreign direct investment projects (FDIP). The current research also investigates the impact of the 51/49 rule on the inflows of the foreign direct investments in Algeria as well as some other countries. The research concludes that there is no evidence that the amendment of the 51/49 rule would lead to technology transfer through the FDI.


2019 ◽  
Vol 7 (4) ◽  
pp. 125-150
Author(s):  
Farruhbek Muminov

Central Asia, with its abundance of natural resources and low labor costs, is often seen as an attractive destination for foreign investment. The inflow of foreign investment into Central Asia has significantly increased in recent decades, and this phenomenon supports the improvement of both national economies and the welfare of the region. Still, Central Asia is not classified as a low-risk destination for foreign investment because of inadequate protection of foreign investment – particularly a lack of transparency and predictability in Central Asia states’ FDI (Foreign Direct Investment) regimes. Furthermore, international organizations (such as the OECD) indicate that some countries in Central Asia do not have clear investment policies. These points pose problems for foreign investors who desire to invest in the region. From this perspective, this article analyzes the consistency of the general principles of foreign investment in Central Asia with international investment standards.


Author(s):  
Kheang Un

With a strong economy and newly acquired confidence following three decades of rapid economic expansion, China has pursued an outward looking policy based upon foreign direct investment, development assistance and trade targeting particularly the developing world. Such expansion has drawn concerns over its impact on human rights, democratization and the environment. This paper assesses these concerns by examining Sino-Cambodia relations over the past sixteen years. It concludes that while trade, development assistance, and investment have had positive effects on Cambodia’s economic development, concerns that these engagements have derailed deeper democratization in Cambodia are not deterministic. Cambodia’s authoritarian trajectory is less a product of China’s engagement and more of the Cambodian elites’ defiance of Western efforts at democratic promotion and belief in state developmentalism—economic prosperity with tight political control.


Author(s):  
Oleksii Kulakov

The study shows that there is the increase in foreign direct investment by type of economic activity to identify increased investment attractiveness. It is investigated that the trend of efficiency of foreign direct investment in Ukraine in relation to economic development is negative for revealing the level of economic development. Article analyzes the growth of the ratio of foreign direct investment per capita in percent in order to identify the need to increase the international investment attractiveness of Ukraine. Author considers that to increase the level of foreign investment it is necessary to promote the development of interregional cooperation: economic growth, decent working conditions, implement quality education, information-communication technologies, tourism development, foreign trade, agricultural sector, construction development, transport infrastructure, personnel training, development of industry and energy.


2014 ◽  
Vol 234 (6) ◽  
Author(s):  
Iulia Siedschlag ◽  
Ville Kaitila ◽  
John McQuinn ◽  
Xiaoheng Zhang

SummaryThe global financial and economic crisis has severely affected foreign direct investment, particularly the cross-border mergers and acquisitions in advanced economies. This paper examines the effects of foreign mergers and acquisitions on labour productivity and employment growth over the period 2001-2009 in six small open economies in the European Union: Austria, Belgium, Denmark, Finland, the Netherlands and Sweden. We show that the severity of the crisis has been uneven across these six economies. Taken together, our estimates suggest that foreign direct investment had stronger effects on firm performance in services than in manufacturing.


2013 ◽  
Vol 16 (1) ◽  
pp. 5-19
Author(s):  
Agnieszka Drzymała

The paper analyses foreign direct investment outflows from the European Union to the ASEAN countries. The region of Southeast Asia is very important for the EU in terms of economic cooperation. Previous relations between the European Union and ASEAN countries laid the foundations and became the basis for subsequent business initiatives, first encompassing trade and later investment initiatives. Today the liberalisation of foreign direct investment (FDI) flows is taking place, which has a positive impact on the increase in exports of ASEAN countries and in turn affects the economic development of these countries. The European Union deepens its economic ties with the region through FDI, which results in increased economic interdependence.


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