Economic and political development of Ukraine: importance of foreign direct investment

Anna RIVNA[1]

https://doi.org/10.53465/SJIR.1339-2751.2023.1.79-100

 

Abstract: The purpose of this paper is to give an overview of the economic and political development of Ukraine, as well as to explain why foreign direct investment is important for Ukraine’s economy. This study applies the qualitative method in order to investigate the issue and is based on both primary and secondary data. Qualitative interviews represent the primary data sources, conducted with individuals who are either investors or have high expertise of the topic. News articles, previous research papers and literature are used as a secondary data source. The results show that the biggest challenges in political development of Ukraine lie in the continuous war with Russia. Nevertheless, it’s important to keep in mind that countries like Ukraine can only be rebuild with the help of foreign investors as they allow the transfer of technology – particularly in the form of new varieties of capital inputs – that cannot be achieved through financial investments or the trade of goods and services. FDI can also promote competition in the domestic input market. For that reason, it is important to examine existing policies as well as look for new ways of increasing the foreign investment flow.

Keywords: foreign direct investment, reforms, economic development, political development, Ukraine

JEL: F21, F30, F63

Fulltext: PDF

Submitted: 11. 2. 2022 | Accepted: 14. 2. 2023 | Published 15. 3. 2023

 

To cite this article (APA style):

Rivna, A. (2023). Economic and political development of Ukraine: importance of foreign direct investment. Medzinárodné vzťahy – Slovak Journal of International Relations, 21(1), 79 – 100. https://doi.org/10.53465/SJIR.1339-2751.2023.1.79-100

 

Publisher: University of Economics in Bratislava

ISSN online: 1339-2751

 

[1] Anna Rivna, MA. University of Applied Sciences Burgenland, Campus 1, A-7000 Eisenstadt, Austria, e-mail: . orcid idhttps://orcid.org/0000-0001-8198-2170

 

License:

Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License

This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.