THE EVOLUTION OF THE FDI CORRELATION - ECONOMIC GROWTH
THE EVOLUTION OF THE FDI CORRELATION - ECONOMIC GROWTH

Summary/Abstract: Increased attention to foreign direct investment is justified by the fact that they are seen as the main factor stimulating economic growth. They are part of the class of financial flows that do not generate external debt and are considered to be a complement to domestic investments and, at the same time, a significant financier of the current account deficit. The article aims to address the complexity of the phenomenon of foreign direct investment, starting from the evolution of theoretical approaches and their practical dimension, connected to the processes of restructuring and economic development. Without neglecting the multitude of positive effects that foreign direct investment can generate, we did not exclude during the analysis, depending on the specific conditions of the economies in transition, the manifestation of certain negative effects. These negative effects may be all the more pronounced as countries receiving foreign direct investment, generally economies in transition, do not have well-structured economic policies and strong sectoral options.

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