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Foreign Direct Investments: A Comparison of EAEU, DCFTA and Selected EU-CEE Countries

Author

Listed:
  • Peter Havlik
  • Gabor Hunya

    (The Vienna Institute for International Economic Studies, wiiw)

  • Yury Zaytsev

Abstract

Foreign direct investment (FDI) has been the main driver of restructuring and modernisation in Central and Eastern Europe. This paper looks into FDI stocks and flows in a dynamic and cross-country perspective, comparing the key EAEU countries (Belarus, Kazakhstan and Russia) as well as DCFTA countries (Georgia, Moldova and Ukraine) with selected EU-CEE peers (Hungary, Poland, Romania and Slovakia) in the neighbourhood. The study shows that EAEU and DCFTA countries have not been particularly attractive for foreign investors taking out round tripping inflows from offshore destinations, the accumulated FDI would be even lower. This explains a lot why restructuring in the region stalls. This pattern can change only with marked improvements in the domestic regulatory environment and investment climate.

Suggested Citation

  • Peter Havlik & Gabor Hunya & Yury Zaytsev, 2018. "Foreign Direct Investments: A Comparison of EAEU, DCFTA and Selected EU-CEE Countries," wiiw Research Reports 428, The Vienna Institute for International Economic Studies, wiiw.
    • Handle: RePEc:wii:rpaper:rr:428
    as

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    File URL: https://wiiw.ac.at/foreign-direct-investments-a-comparison-of-eaeu-dcfta-and-selected-eu-cee-countries-dlp-4571.pdf
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    References listed on IDEAS

    as
    1. Gabor Hunya, 2002. "Recent Impacts of Foreign Direct Investment on Growth and Restructuring in Central European Transition Countries," wiiw Research Reports 284, The Vienna Institute for International Economic Studies, wiiw.
    2. Peter Havlik, 2003. "Restructuring of manufacturing industry in the central and east european countries," Prague Economic Papers, Prague University of Economics and Business, vol. 2003(1), pages 19-36.
    3. Peter Havlik & Ichiro Iwasaki (ed.), 2017. "Economics of European Crises and Emerging Markets," Springer Books, Springer, number 978-981-10-5233-0, June.
    4. Peter Havlik & Michael Landesmann & Robert Stehrer, 2001. "Competitiveness of CEE Industries: Evidence From Foreign Trade Specialization and Quality Indicators," wiiw Research Reports 278, The Vienna Institute for International Economic Studies, wiiw.
    5. repec:wsr:ecbook:2015:i:vi-002 is not listed on IDEAS
    6. World Bank, 2002. "Transition, The First Ten Years : Analysis and Lessons for Eastern Europe and the Former Soviet Union," World Bank Publications - Books, The World Bank Group, number 14042.
    7. Gábor HUNYA & Sándor RICHTER, 2011. "Mutual trade and investment of the Visegrad countries before and after their EU accession," Eastern Journal of European Studies, Centre for European Studies, Alexandru Ioan Cuza University, vol. 2, pages 77-91, December.
    8. Hubert Gabrisch & Doris Hanzl-Weiss & Mario Holzner & Michael Landesmann & Johannes Pöschl & Hermine Vidovic, 2016. "Improving Competitiveness in the Balkan Region – Opportunities and Limits," wiiw Research Reports 411, The Vienna Institute for International Economic Studies, wiiw.
    9. Amat Adarov & Kateryna Bornukova & Rumen Dobrinsky & Peter Havlik & Gabor Hunya & Dzmitry Kruk & Olga Pindyuk, 2016. "The Belarus Economy: The Challenges of Stalled Reforms," wiiw Research Reports 413, The Vienna Institute for International Economic Studies, wiiw.
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    More about this item

    Keywords

    foreign direct investment; FDI flows and stocks; Eastern Europe; Belarus; Georgia; Moldova; Kazakhstan; Russia; Ukraine; FDI by key partners and sectors;
    All these keywords.

    JEL classification:

    • C82 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - Methodology for Collecting, Estimating, and Organizing Macroeconomic Data; Data Access
    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • O57 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Comparative Studies of Countries
    • P23 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Factor and Product Markets; Industry Studies; Population

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