Утицај страног капитала на економски развој и приближавање Европској унији
Influence of foreign capital on economic development and approaching to the European Union

Summary/Abstract: Different instruments of foreign capital inflow have different impacts on the macroeconomic size of countries in transition. In the subject paper, the authors tried to prove this hypothesis through quantitative and statistical analysis using appropriate economic models. The gradual presentation, paying significant attention to the consideration of the economic essence of the elements of the presented models, as well as the use of relatively realistic examples through a case study (on the example of Bosnia and Herzegovina), served the authors to illustrate theoretical positions and conclusions about the importance of foreign direct investments (FDI), on economic development and growth of countries on the way to the European Union (EU). Unravelling the mutual correlation of various economic factors and variables that determine the influence of FDI on the economic development of the so-called countries in transition, he also pointed to some other relationships that exist between global economic flows and the inflow of foreign capital. According to the author, the inflow of foreign capital should be controlled by economic policy instruments, but also by other instruments available to the states. The positive impact that foreign capital has on economic development generally implies a planned and rational use of approved funds. This may also be important when assessing the role of foreign capital investments coming from EU countries, since their role in most cases is of crucial importance for the development of the economies of candidate countries for admission to the EU. Serbia’s economy is no exception in this sense, and the influx of investments from the EU speaks in favor of its development capacities and faster progress towards the single European market.

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