Large-scale Investment Research Articles

China’s experience of infrastructure megaprojects in Eurasia and Africa: Successes and contradictions

The research relevance is determined by the unprecedented scale of Chinese infrastructure initiatives, their potential impact on regional development and the geopolitical balance of power, as well as the controversial nature of their socio-economic and environmental consequences in the context of current global transformations. The study aims to provide a critical analysis of the successes and contradictions of Chinaʼs infrastructure initiatives. Synthesis, comparative analysis, critical analysis, modelling, structural-functional and systematisation methods were used in the study. The results of the study demonstrate the significant potential of Chinese infrastructure megaprojects to stimulate economic growth, and infrastructure development and deepen regional integration in Eurasia and Africa. However, despite the declared benefits, these initiatives are characterised by several contradictions and challenges. Large-scale Chinese investments carry risks of debt dependence for recipient countries, as they are often provided on non-transparent and unfavourable terms. In addition, the implementation of megaprojects is accompanied by high corruption risks, a lack of proper accountability mechanisms, and limited involvement of local resources and companies. This minimises potential economic benefits for the countries involved and hinders technology transfer and local capacity development. Chinese infrastructure projects are also often associated with negative social and environmental impacts, such as forced resettlement of communities, ecosystem degradation, and pollution. To overcome these contradictions, recommendations have been developed to introduce mechanisms for transparency, accountability, active involvement of local companies and ensuring a fair distribution of economic benefits among all stakeholders. The practical significance of the study lies in the development of recommendations for optimising Chinese infrastructure megaprojects, given the interests of the participating countries, which can be used to improve cooperation strategies with China and ensure the sustainability, mutual benefit and inclusiveness of these initiatives

Position of Russia in foreign economic activity with China in the field of natural liquefied gas

In the current conditions of development of the international market for liquefied natural gas (LNG) under the influence of geopolitical factors, the development of the LNG supply chain, which attracts large-scale international investments, the pursuit of the green agenda and the growing maritime trade in LNG, the issue of identifying the strategic positions of countries in this sector is actualized. In accordance with this problem, the purpose of the study is to identify the position of Russia in foreign economic relations with China in the field of LNG relative to other countries. To achieve this goal, a study was conducted on the main players in the international LNG market, their role in the development, production, transportation and sale of gas, as well as foreign economic relations using methods of analysis, synthesis, systematization and economic analysis. The result of the study showed that in the near future, despite the short-term sharp reduction in China’s gas consumption, the need for LNG will increase due to the influence of a number of identified factors. Under these conditions, it is necessary to evaluate Russia’s position within the framework of the emerging opportunities for the growth of the sales market.

“Зеленый курс” администрации Дж. Байдена: амбиции и реалии

The ambitious “green” industrial policy program promoted by the Biden administration is designed to consolidate the US claims to its leading role in shaping the global climate change agenda. The package of legislative acts approved by the White House provides for unprecedented allocations to address priorities for decarbonizing the American economy. Pumping up targeted manufacturing industries with federal subsidies and tax incentives has generally had a positive impact on economic growth, employment, labor productivity and innovation activity. After the adoption of the Inflation Reduction Act of 2022 (IRA), the process of transforming alternative energy into the fastest growing and relatively affordable source of electricity attractive for private investment accelerated. Large-scale investments of public and private funds in renewable energy sources, electric transport and batteries have stimulated the use of national resources. At the same time, the task set by the White House to achieve sole global leadership and weaken the dependence of national industry on supplies of raw materials, components and finished products from “unfriendly” countries still looks elusive. The most significant obstacle to meeting Washington’s overstated ambitions in terms of increasing the chances of American companies competing with China is the continuing lag in building up the production base of “green” energy. The US dependence on supplies of the “green triad” – solar panels, lithium-ion batteries and electric vehicles remains high. Washington’s aggressive protectionist actions have failed to prevent Chinese companies from developing alternative energy sources, as well as the new energy vehicle industry (NEVs). The confrontation with China distracts the material resources of the United States from the tasks related to the implementation of the “new green deal”, creates obstacles to the scaling of “green” technologies. If the Biden administration or his successor as US president act even more aggressively, it will make it more difficult to achieve Washington’s climate goals, may involve some US allies in a “subsidy war” and may even serve as a trigger for a new escalation of international tensions.

Інвестиційна політика промислового підприємства: теоретичні аспекти та особливості формування в кризових умовах

The article defines that ways of interpreting the essence of the concept of "investment policy" may vary depending on the opinions and considerations of different authors. Based on the generalization of the main approaches to the definition of investment policy in economic literature, various aspects of investment policy were highlighted, in particular, the key ones are: strategic planning, regulation, stimulation and influence on the distribution of resources. It is substantiated that the role of investment policy in the activity of an industrial enterprise is expressed through the connection of the concepts "investment – policy – investment policy", the essence of which is subject to a certain logic. In fact, we are talking about investing resources or assets in a certain project or enterprise, which should stimulate and support investment activity through a complex of processes of formation, realization and implementation of decisions, strategies and actions. It is proved that even in unstable economic conditions, large enterprises can implement large-scale investment programs related to the purchase of expensive, often imported, high-performance equipment, while the investment funds of small and medium-sized businesses are directed mainly to the purchase of relatively not very expensive low-performance machines. During periods of crisis, investors become more attentive to corporate fundamentals, which leads to an outflow of capital from defensive portfolios. Investors find a way out in approaches focused on the long-term sustainability of firms. World experience shows that one of the most effective investment options is involvement in innovative investment activities, which should become a leading reference point in the implementation of the investment policy of industrial enterprises. This will not only help protect equity from loss or depreciation, but will also allow the business to receive regular income in the form of interest or dividends and a number of other benefits.

ПРОЄКТНЕ ФІНАНСУВАННЯ В УМОВАХ РЕАЛІЗАЦІЇ “UKRAINE FACILITY PLAN”

In the context of the extensive destruction Ukraine has suffered as a result of the war, there is an acute shortage of funds for economic recovery. The assessment of damage, losses, and needs for the reconstruction and rebuilding of Ukraine is reflected in the updated World Bank report - Third Rapid Damage and Needs Assessment (RDNA3). The key tasks and goals for Ukraine's economic development are outlined in the Ukraine Facility Plan. Given this, the organizational, legal, and financial aspects of interaction with potential investors require greater attention in the implementation of the priorities set out in the Ukraine Facility Plan. This article is dedicated to studying the mechanism of project financing in Ukraine in the context of implementing the comprehensive economic development plan - Ukraine Facility Plan. It reveals the features of organizing the financing of projects with significant investments in the real sector of the economy. The article provides a list of organizations responsible for the development and implementation of the "Ukraine Facility Plan" at national and territorial levels, as well as those facilitating interaction with foreign investors. A list of contentious issues related to the imperfections of the current financial and legal mechanism, which may lead to potential conflicts of interest and risks in the process of interaction between participants in the investment process in Ukraine, is defined. Attention is drawn to the need to intensify work on supporting foreign investments at the state and regional levels. Given the high level of business risk in Ukraine, the mechanism for assessing and distributing risks among project participants requires greater attention. Based on the study of existing legislation, it is concluded that financial risks are the primary types of risks in the implementation of projects with significant investments in Ukraine. A list of World Bank Group instruments that can be used to protect the interests of investors in the implementation of large-scale investment projects in Ukraine is presented.

The impact of soft law on the regulation of sustainable investment in the Arctic Region

The article discusses the issue of regulating sustainable and responsible investment in the Arctic region. The execution of large-scale investment initiatives in this region will require substantial capital, including foreign ones, as well as a large-scale impact on the ecology of the Arctic region. The work emphasizes the importance of making sustainable investments, which in the long term will not harm either the environment or indigenous and small-numbered peoples living in the project areas. The purpose of the work is to study how soft law instruments affect the regulation of investment in the Arctic using narratological methods. Currently, there is a clear lack of international legal regulation of sustainable investment, and the legislation of different states on relevant issues follows different approaches. When investment relations are not properly regulated, it can be difficult to implement sustainable and responsible investment, which will also have negative economic consequences. In this regard, the author concludes that currently the norms of the so-called ?soft law? play the most important role in regulating investment activities. An analysis of so-called ESG investing is being carried out. The work presents an overview of some of the most significant sources of soft law and classifies soft law norms depending on their source of origin. Explanatory examples demonstrate how investors and enterprises implementing investment projects apply soft law in their activities. The author concludes that the concept of soft law is a reflection of the way in which entrepreneurs' narratives can influence the behavior patterns that will be adopted by the relevant association of entrepreneurs. The article gives examples to examine the impact of narratives on the creating and implementation of soft law provisions, and further analyzes these methods of influence.

Xinjiang on the New Silk Road: Kyrgyzstan's Energy and China's Manufacturing Foreign Trade

Located in the northwest of China, Xinjiang plays a key role as an important node of the New Silk Road. The purpose of this study is to explore the influence of Xinjiang's geographical position, economic development, infrastructure construction, cultural exchange and energy resources in this initiative. First of all, Xinjiang's geographical advantages make it a key link between China and Central Asia, Europe and other places, providing a convenient channel for promoting international trade and logistics. Secondly, large-scale infrastructure investment, such as high-speed railway, highway and port construction, has improved Xinjiang's trade and logistics capabilities, and also brought economic growth and employment opportunities. In addition, Xinjiang's multi-culture and ethnic characteristics promote cross-border cultural exchanges and create opportunities for understanding and cooperation between different cultures. Finally, Xinjiang's abundant energy resources are of strategic significance to China's energy economy and help to ensure the country's energy security. This study emphasizes the key position of Xinjiang in the Silk Road, and its positive role in regional economic integration and cooperation, which provides useful insights for further discussion on this issue.

복합문화공간의 입지 결정 요인과 평가모형 연구

(1) RESEARCH OBJECTIVES Since complex cultural space development projects involve long-term decision-making with considerable time and large-scale capital investment and involve a lot of time and budget from basic design to construction and completion, efforts to minimize risk in the long run are very important. In relation to the location factors of complex cultural spaces, there is a need for an analytical and rational study that can satisfy the formation of local urban culture and economic factors. Accordingly, this study was conducted to understand the importance of the location determinants of complex cultural spaces and to suggest evaluation factors accordingly. (2) RESEARCH METHOD The evaluation items for the location determinants of the complex cultural space were selected through FGI, focusing on experts, and AHP analysis was conducted on the selected evaluation items as a structured secondary questionnaire in a pairwise comparison method for administrative and practical experts. To verify the evaluation model, the accuracy of the evaluation criteria was verified by comparing the evaluation model using the business performance evaluation model distribution table, focusing on the importance of the evaluation items calculated through AHP analysis. (3) RESEARCH FINDINGS As a result of evaluating each item of the four regional complex cultural spaces based on the overall importance of AHP, the highest scores were found in the order of Seoul, Gwangju, In the Seoul Metropolitan area, which was evaluated as the highest score, the public interest of social factors was the highest, followed by the convenience of public transportation of environmental factors in Gwangju. 2. RESULTS The fact that the convenience of public transportation, an environmental factor, was analyzed as the highest score in the location determination factor of the complex cultural space means that the complex cultural space should be located in the city center and secure transportation convenience, and that it should play a role in balanced regional development and urban economic development by expanding access opportunities for the public and art.

An Update on SARS-CoV-2 Clinical Trial Results-What We Can Learn for the Next Pandemic.

The coronavirus disease 2019 (COVID-19) pandemic has claimed over 7 million lives worldwide, providing a stark reminder of the importance of pandemic preparedness. Due to the lack of approved antiviral drugs effective against coronaviruses at the start of the pandemic, the world largely relied on repurposed efforts. Here, we summarise results from randomised controlled trials to date, as well as selected in vitro data of directly acting antivirals, host-targeting antivirals, and immunomodulatory drugs. Overall, repurposing efforts evaluating directly acting antivirals targeting other viral families were largely unsuccessful, whereas several immunomodulatory drugs led to clinical improvement in hospitalised patients with severe disease. In addition, accelerated drug discovery efforts during the pandemic progressed to multiple novel directly acting antivirals with clinical efficacy, including small molecule inhibitors and monoclonal antibodies. We argue that large-scale investment is required to prepare for future pandemics; both to develop an arsenal of broad-spectrum antivirals beyond coronaviruses and build worldwide clinical trial networks that can be rapidly utilised.

Conditions and factors of development of regions of the Arctic zone of Yakutia

In 2020, the republic was one of the first in the country to adopt a regional strategy for the development of the Arctic regions for the period up to 2035. The strategy is ambitious and covers all measures to solve infrastructural tasks and implement large-scale investment projects in the Arctic, but its main goal is to sustainably ensure an increase in the standard of living and quality of life of the residents of the Arctic regions. In recent years, the Arctic theme has received significant development in the works of the scientific community and in all spheres of activity, including economic. The relevance of the research topic is due to the insufficient study of the issues of socio-economic development of Arctic municipalities. In this regard, there was a need to study the conditions and factors of development of the districts of the Arctic zone of Yakutia. The subject of the study is the socio-economic development of the Arctic districts of Yakutia, divided into 5 groups. Each group of Arctic regions has its own logistics and points of growth. Of particular interest are the Anabarsky and Oleneksky districts, these are the districts of the Anabar group, where large-scale industrial development is planned. The analysis of the socio-economic situation of the Anabar group of districts has revealed the problems typical for all Arctic districts of Yakutia. The research material was based on official data of the Territorial Body of the Federal State Statistics Service of the Republic of Sakha (Yakutia), in particular, the database of municipal districts.

Sustainable development goals as means to motivate CO2 capture and storage in Indian geologic formations

CO2 capture and storage (CCS) is increasingly being viewed as an important part of India's energy transitions by several practitioners. Ensemble modeling scenarios consistent with the Paris Agreement indicate that investments by the end of this decade towards CO2 transport and geologic storage would need to be $1–8 billion/year in India. These large-scale investments are accompanied by multiple technical, environmental, financial and societal interlinkages that interface with sustainable development. This review begins by summarizing some of these considerations in context of geologic CO2 storage. It then devotes individual sections to discussing how sustainable development goals (SDGs) could align with these projects and play a synergistic role for decarbonization. Four SDGs are particularly of interest. SDG-17 on global partnerships would be instrumental in facilitating low-cost financing for CCS investments. At the same time, other SDGs could be strategically used as co-benefits to CCS projects. These include SDG-8 on decent work, SDG-6 on clean water and SDG-9 on industry. We posit that it is not possible to study these SDG interlinkages in the global hypothetical. As such, this review takes a view of Indian geologic formations for CCS but also offers generalizable insights across other developing economies.

일본 모빌리티 산업동향 및 토요타자동차 전략

Purpose: The purpose of this study is to look at trends in the Japanese mobility industry, analyze Toyota Motor’s mobility strategy, and then seek implications for the Korean government and companies. The reason for looking at Japan’s industrial trends is that not only has Japan made various efforts early on in this field, but Korea is similar to Japan in demographic structure, and so there are many things to refer to from Japan’s industrial trends. Also, looking at Toyota Motor’s case in relation to corporate strategy, we can find that the company not only clearly presents its strategy as a mobility company, but is actually implementing it by launching various products and services.
 Research design, data, and methodology: As to the Japanese mobility industry trend, we first briefly look at the Japanese government’s policies, and then look at the trends by components of the mobility industry such as electric vehicles, autonomous driving, personal mobility, and flying cars. And regarding Toyota Motor’s mobility strategy, we look at electric vehicle strategies and development organizations, and look at strategies for each field, including automobiles, MaaS, personal mobility, and flying cars.
 Results: As a result of analyzing trends in the Japanese mobility industry, the following points were confirmed. At first, the basic direction of mobility policy in the Ministry of Economy, Trade and Industry was securing mobility services that provide new value, realizing carbon neutrality and reducing traffic accidents, and strengthening the industry’s international competitiveness. In the automobile industry, we find that the electrification of automobiles had a significant impact on the industrial structure, resulting in the weakening of the vertical division of labor and the advancement of the horizontal division of labor. In the mobility field, not only automobiles but also personal mobility plays an important role. The Japanese government was promoting deregulation in this field, and startups were playing a large role in the private sector. In addition, in the field of UAM, or flying cars, the government and the private sector were cooperating to improve various standards. In addition to industry trends, this study examined the strategy of Toyota Motor Corporation, and found that the company is advancing into each field that makes up the mobility industry and pursuing business in all directions. First, in the automobile sector, the company was a little late in moving to electric vehicles, but it set a new direction by announcing a large-scale electric vehicle investment plan in December 2021. In addition to investing in electric vehicles, the company was pursuing a transformation of its automobile business from hardware-centered to MaaS-centered, the key elements of which were MSPF and Autono-MaaS. The company also actively entered the personal mobility field and the UAM or flying car business.
 Implications: This study presented the following implications for Korea through consideration of the Japanese mobility industry. First, there is a need to actively refer to Japanese policies when establishing mobility-related policies at the Korean government level. Second, Korean companies also need to actively utilize the experience of Japanese companies, especially in the service sector, when establishing mobility strategies. Thirdly, there is a need for companies in the two countries to jointly solve social problems of both countries and to explore the global market through cooperation, and to this end, the government’s efforts to revitalize exchanges between companies from both countries are needed.

Carbon Fiber 3D Printing: Technologies and Performance—A Brief Review

Additive manufacturing is evolving in the direction of carbon fiber 3D printing, a technology that combines the versatility of three-dimensional printing with the exceptional properties of carbon fiber. This work aims to provide a brief review of the main methodologies used in carbon fiber 3D printing, focusing particularly on the two most widespread types: continuous fiber printing and short fiber printing. In the context of continuous fiber printing, the process of embedding a continuous carbon fiber into a polymer matrix will be examined, resulting in the achievement of high-performance lightweight structural components. On the other hand, short fiber printing involves the use of short carbon fibers mixed in turn with polymeric materials, with the advantage of having greater ease of processing and obtaining highly performing components with large-scale economic investments that are lower in cost than additive manufacturing using continuous fiber printing. Furthermore, this work will conduct an evaluation of the mechanical properties of products printed using both technologies, focusing on key aspects, such as strength, stiffness, weight, and resistance to mechanical stress. The specific advantages and challenges associated with each printing technique will also be analyzed.

Message framing to promote solar panels

Green technologies, such as solar panels, foster the use of clean energy, yet often involve large-scale investments. Hence, adoption by retail consumers has been a key barrier. Here, we show that message framing can significantly increase customers’ serious commitment to adopting solar panels by providing empirical evidence in the field from a large-scale randomized controlled trial with a nationwide online retailer in the Netherlands (N = 26,873 participants). We design four messages aimed at promoting the purchase behavior of solar panel installations. Our messages present outcomes for oneself or for the environment and highlight cost savings versus earnings (for oneself) or reducing emissions versus generating green electricity (for the environment). Across all messages, we observe a higher rate of customers committing to solar panels compared to the baseline. However, the framing in terms of financial savings for oneself was by far the most effective, resulting in a 40% higher level of commitment than the baseline and 30% higher than the average of the other three messages, which were not significantly different in effect from each other. Our results show that message framing is cost-efficient and scalable among retail consumers to promote large-scale investments in green technologies and thus clean energy.

A constrained swarm optimization algorithm for large-scale long-run investments using Sharpe ratio-based performance measures

We study large-scale portfolio optimization problems in which the aim is to maximize a multi-moment performance measure extending the Sharpe ratio. More specifically, we consider the adjusted for skewness Sharpe ratio, which incorporates the third moment of the returns distribution, and the adjusted for skewness and kurtosis Sharpe ratio, which exploits in addition the fourth moment. Further, we account for two types of real-world trading constraints. On the one hand, we impose stock market restrictions through cardinality, buy-in thresholds, and budget constraints. On the other hand, a turnover threshold restricts the total allowed amount of trades in the rebalancing phases. To deal with these asset allocation models, we embed a novel hybrid constraint-handling procedure into an improved dynamic level-based learning swarm optimizer. A repair operator maps candidate solutions onto the set characterized by the first type of constraints. Then, an adaptive ℓ1\\documentclass[12pt]{minimal} \\usepackage{amsmath} \\usepackage{wasysym} \\usepackage{amsfonts} \\usepackage{amssymb} \\usepackage{amsbsy} \\usepackage{mathrsfs} \\usepackage{upgreek} \\setlength{\\oddsidemargin}{-69pt} \\begin{document}$$\\ell _1$$\\end{document}-exact penalty function manages turnover violations. The focus of the paper is to highlight the importance of including higher-order moments in the performance measures for long-run investments, in particular when the market is turbulent. We carry out empirical tests on two worldwide sets of assets to illustrate the scalability and effectiveness of the proposed strategies, and to evaluate the performance of our investments compared to the strategy maximizing the Sharpe ratio.

Landscape, EIA and decision-making. A case study of the Vistula Spit Canal, Poland

ABSTRACT Although landscapes are often considered public goods, they frequently receive inadequate attention in Environmental Impact Assessments (EIAs), particularly in Poland. This neglect often leads to visible degradation during investment processes. This article examines the case of the Vistula Spit Canal, currently the largest engineering project under construction in Poland. We analysed whether the conclusions drawn in the EIA report, particularly those concerning landscape changes, influenced the decision to proceed with the construction. Although the EIA report described potential landscape changes as both significant and irreversible, the authorities nonetheless approved the project, citing moderate environmental impacts in other areas. This case underscores the tendency to overlook landscape considerations when greenlighting large-scale investments.

Implications of large-scale agricultural investment for adaptation to climate change by smallholders in the Central Rift Valley, Ethiopia

Implications of large-scale agricultural investment for adaptation to climate change by smallholders in the Central Rift Valley, Ethiopia

The Long Shadow of a Major Disaster: Modeled Dynamic Impacts of the Hypothetical HayWired Earthquake on California’s Economy

We develop and apply a dynamic economic simulation model to analyze the multi-regional impacts of, and mechanisms of recovery from, a major disaster, the HayWired scenario — a hypothetical Magnitude 7.0 earthquake affecting California’s San Francisco Bay Area. The model integrates loss pathways: capital stock damage, labor supply shocks due to short-term population displacement and longer-run out-migration from damaged areas, and the exacerbating effects of damage to transportation infrastructure capital, as well as various aspects of static and dynamic economic resilience. With input substitution-based static inherent resilience and dynamic resilience in the form of optimal intertemporal and spatial investment allocation, gross output losses range from 0.5 percent to 6 percent across regions, and welfare losses are 0.4 percent statewide but can be ten times as large in hardest-hit areas. Large-scale reconstruction investment is supported by substantial interregional transfers of resources through intra-state trade. Increased output via firms engaging in the key adaptive resilience tactic of production recapture can alleviate a substantial fraction of losses—but only if upstream and downstream barriers to recovery can be lowered quickly.

On the issue of the criterion of efficiency of large-scale investment projects in the situation of uncertainty (by the example of railroad transport)

The article discusses the criteria of efficiency used in the assessment of investment projects. The objects of interest are large-scale projects which have a significant influence on life of the country (not only economic), such as large railroad projects in the first place. The criteria of microeconomic level (typical of the methodology of the costbenefit analysis) and macroeconomic level, when a project is analyzed in the context of economy of the country in general, are considered. It is shown that the principal problem of efficiency of large-scale projects both at micro- and macrolevel is fundamental uncertainty.

Transnational large-scale land investments in developing economies: What role do formal institutions play?

This paper examines how institutions impact large-scale land acquisitions (LSLAs) in the peri-urban city of a developing economy. That is, by examining the documented formal rules of the Lagos market and their enforcement procedures, it identifies the specific role the institutional framework of the market plays in the distribution of the impacts of large-scale land-based investments amongst host communities. The paper proceeds by examining the spate of transnational large-scale land-based investments on a global scale. It considers the issues driving the sustained interests of international investors such as transnational corporations in acquiring large swathes of land, mostly in developing countries, alongside the apparent global patterns of these investments. The paper employs a qualitative research strategy involving in-depth semi-structured interviews conducted with key stakeholders in the LSLA that is prompted by the Lekki Free Trade Zone project in Lagos, Nigeria. That is, key government representatives, international investors in the project and representatives of the host communities. Our empirical investigations and analyses show that where property rights are poorly delineated and assigned in the formal institutional prescriptions governing LSLA in a market, institutions may become an unintended means of impoverishment and exclusivity, thereby defeating the public good imperative of LSLAs in such markets. The paper further suggests some policy directions for strengthening the institutions of the Lagos market towards achieving equity, transparency and accountability in the conduct of transnational LSLAs.