Global trends in foreign investment and their role in the post-war reconstruction of Ukraine’s economy

Abstract

Methods. The results of the study were obtained using general and special methods and scientific approaches, namely: methods of abstraction and comparison, economic-statistical and logical-analytical analysis – to diagnose and assess global investment flows and foreign direct investment in Ukraine; methods of mathematical statistics – for factor analysis of the dependence of changes in GDP in the country on changes in PPI; method of theoretical generalization – to justify the choice of mechanisms for attracting foreign investors and intensify investment activities. Results. A thorough analysis of global investment trends, methods and mechanisms of attracting foreign direct investment to the country was conducted. The nature of trends in global investment flows and types of investment clusters created within the world economy is established. The experience is considered of stimulating foreign investors of Invest in Lithuania, an agency for promoting foreign investment in Lithuania, which is a benchmark in Europe due to its professionalism and organization. Investment flows in Ukraine are analyzed, key problems, challenges and risks of Ukraine’s investment policy to attract foreign direct investment are identified. It is established that, in contrast to global trends, foreign direct investment in Ukraine has not become a significant factor in Ukraine’s economic development, which is confirmed by the lack of correlation between changes in GDP and changes in FDI. It is proved that in the post-war economy FDI will become a driver of economic growth in the context of a new economic model, integrated into the Western and world political and economic space, yet focused on national interests. A set of instruments and mechanisms to encourage foreign investors to participate in developing the country’s economic potential in the post-war period is highlighted; they take into account the specifics of the national economy and meet the strategy of economic revival of Ukraine. Novelty. Effective mechanisms for implementing Ukraine’s state investment policy to stimulate foreign direct investment in the post-war economy are proposed, which take into account global investment trends and best practices in stimulating foreign investors. Practical value. It consists in developing proposals for using tools and mechanisms to attract foreign investors, considering the specifics of the post-war economy of Ukraine. The findings and results of the study will help to build the country’s investment potential, restore the destroyed national economy and create a strong economy.