HUNGARY, POLAND, THE CZECH REPUBLIC AND RUSSIA: ECONOMIC GROWTH AND FOREIGN DIRECT INVESTMENTS
The article examines the role of foreign direct investment (FDI) in the economic development of Hungary, Poland and the Czech Republic in recent decades. It is shown that the high rates of economic growth achieved by these countries in the pre-crisis years were closely linked to large foreign loans....
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| Format: | Article |
| Language: | Russian |
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Novosibirsk State University Press
2017-06-01
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| Series: | Mir Èkonomiki i Upravleniâ |
| Subjects: | |
| Online Access: | https://nsu.ru/ef/vestnik_ngu_ef/2017_2_3 |
| _version_ | 1811301072770170880 |
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| author | Dementiev N. P. |
| author_facet | Dementiev N. P. |
| author_sort | Dementiev N. P. |
| collection | DOAJ |
| description | The article examines the role of foreign direct investment (FDI) in the economic development of Hungary, Poland and the Czech Republic in recent decades. It is shown that the high rates of economic growth achieved by these countries in the pre-crisis years were closely linked to large foreign loans. The governments placed special emphasis on the attraction of FDI in high-tech export industries having very high growth rates (motor vehicles, machinery, equipment, computers, electronics and optics). For this purpose, central banks maintained an undervalued exchange rate of national currencies. As a result, adverse foreign trade balance in each of the three countries has shown a surplus in recent years. Furthermore, the disadvantages of excessive foreign loans are listed: high interest and dividend payments to foreign investors, reduction of national and economic sovereignty. For example, more than half of the Czech economy is under the control of foreign investors. Foreign direct investment in the Russian economy is also briefly discussed. It is shown by comparing the data of the Bank of Russia and the Eurostat that more than half of FDI in Russia is made through so-called special purpose entities (SPE) and would be only formally considered a direct investment. |
| first_indexed | 2024-04-13T07:02:17Z |
| format | Article |
| id | doaj.art-87fee35160354e3bb52860595c926d3b |
| institution | Directory Open Access Journal |
| issn | 2542-0429 2542-0429 |
| language | Russian |
| last_indexed | 2024-04-13T07:02:17Z |
| publishDate | 2017-06-01 |
| publisher | Novosibirsk State University Press |
| record_format | Article |
| series | Mir Èkonomiki i Upravleniâ |
| spelling | doaj.art-87fee35160354e3bb52860595c926d3b2022-12-22T02:57:05ZrusNovosibirsk State University PressMir Èkonomiki i Upravleniâ2542-04292542-04292017-06-0117 (2)263610.25205/2542-0429-2017-17-2-26-36HUNGARY, POLAND, THE CZECH REPUBLIC AND RUSSIA: ECONOMIC GROWTH AND FOREIGN DIRECT INVESTMENTSDementiev N. P.0Institute of Economics and Industrial Engineering SB RASThe article examines the role of foreign direct investment (FDI) in the economic development of Hungary, Poland and the Czech Republic in recent decades. It is shown that the high rates of economic growth achieved by these countries in the pre-crisis years were closely linked to large foreign loans. The governments placed special emphasis on the attraction of FDI in high-tech export industries having very high growth rates (motor vehicles, machinery, equipment, computers, electronics and optics). For this purpose, central banks maintained an undervalued exchange rate of national currencies. As a result, adverse foreign trade balance in each of the three countries has shown a surplus in recent years. Furthermore, the disadvantages of excessive foreign loans are listed: high interest and dividend payments to foreign investors, reduction of national and economic sovereignty. For example, more than half of the Czech economy is under the control of foreign investors. Foreign direct investment in the Russian economy is also briefly discussed. It is shown by comparing the data of the Bank of Russia and the Eurostat that more than half of FDI in Russia is made through so-called special purpose entities (SPE) and would be only formally considered a direct investment.https://nsu.ru/ef/vestnik_ngu_ef/2017_2_3экономический ростпрямые иностранные инвестицииорганизации специального назначениясопоставимый уровень центоргуемые товарыeconomic growthforeign direct investmentspecial purpose entitiescomparative price leveltradable goods |
| spellingShingle | Dementiev N. P. HUNGARY, POLAND, THE CZECH REPUBLIC AND RUSSIA: ECONOMIC GROWTH AND FOREIGN DIRECT INVESTMENTS Mir Èkonomiki i Upravleniâ экономический рост прямые иностранные инвестиции организации специального назначения сопоставимый уровень цен торгуемые товары economic growth foreign direct investment special purpose entities comparative price level tradable goods |
| title | HUNGARY, POLAND, THE CZECH REPUBLIC AND RUSSIA: ECONOMIC GROWTH AND FOREIGN DIRECT INVESTMENTS |
| title_full | HUNGARY, POLAND, THE CZECH REPUBLIC AND RUSSIA: ECONOMIC GROWTH AND FOREIGN DIRECT INVESTMENTS |
| title_fullStr | HUNGARY, POLAND, THE CZECH REPUBLIC AND RUSSIA: ECONOMIC GROWTH AND FOREIGN DIRECT INVESTMENTS |
| title_full_unstemmed | HUNGARY, POLAND, THE CZECH REPUBLIC AND RUSSIA: ECONOMIC GROWTH AND FOREIGN DIRECT INVESTMENTS |
| title_short | HUNGARY, POLAND, THE CZECH REPUBLIC AND RUSSIA: ECONOMIC GROWTH AND FOREIGN DIRECT INVESTMENTS |
| title_sort | hungary poland the czech republic and russia economic growth and foreign direct investments |
| topic | экономический рост прямые иностранные инвестиции организации специального назначения сопоставимый уровень цен торгуемые товары economic growth foreign direct investment special purpose entities comparative price level tradable goods |
| url | https://nsu.ru/ef/vestnik_ngu_ef/2017_2_3 |
| work_keys_str_mv | AT dementievnp hungarypolandtheczechrepublicandrussiaeconomicgrowthandforeigndirectinvestments |