UTICAJ STRANIH DIREKTNIH INVESTICIJA NA NACIONALNE EKONOMIJE REGIONA
IMPACT OF FOREIGN DIRECT INVESTMENTS ON THE NATIONAL ECONOMIES IN THE REGION

Summary/Abstract: Countries in the region have a unique problem in attracting foreign capital - lack of an adequate investment environment. They initially gave priority to macroeconomic stability and rapid liberalization, but quickly problems have emerged because liberalization and privatization cannot lead to a successful functioning of the market without high-quality state institutions, necessary for an efficient economy. No adequate macroeconomic and business environment or investment climate has been developed and incentives to attract FDI face a wide range of problems from judicial administration to the tax system and the political will to attract healthy investments.

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