Abstract
Abstract The paper analyses influence of venture capital (VC) and private equity (PE) investing on FDI inflow in the Czech Republic. There exist barriers in the Czech Republic, such as high investment thresholds, imperfect information or legislative barriers that negatively affect the PE and VC investment activity and prevent foreign investors from investing in Czech PE and VC. This is the main reason of the Czech Republic's little PE and VC market activity. Data on foreign direct investment (FDI) in PE and VC is distorted, though, as main foreign investors are investment funds with Czech managers who invest through vehicles established outside the EU for tax reasons. The solution that would contribute to dismantling the barriers of FDI inflow in PE and VC would be to create more favourable conditions for investing in the Czech Republic. If the Czech Republic pursues reaching the European average as benchmark, it has to fill-in a yearly gap in PE and VC investment of 0.077% GDP, or EUR 113.2 million, according to 2007-2013 average figures.
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
