Foreign direct investment is the most popular form of investment and an essential tool for the development of the economy of each country, because the attraction of financial assets of foreign investors helps to activate the investment process, can be used and implemented in the national economy of advanced foreign experience, develop small and medium-sized businesses, to increase the investment potential of economically attractive regions countries.
Foreign direct investment in Ukraine in 2016 ( mln. USD, cumulatively)
| FDI to Ukraine | FDI from Ukraine | Balance | ||||
| I quarter | 42 820,4 | 6 232,3 | 36 588,1 | |||
| II quarter | 44 790,7 | +1 970,3 | 6 233,4 | +1,1 | 38 557,3 | +1 969,2 |
| III quarter | 45 152,2 | +361,5 | 6 236,9 | +3,5 | 38 915,3 | +358 |
| IV quarter | ||||||
The priority sectors of the economy in developed countries – investors are mechanical engineering and metallurgy, pharmaceuticals, agriculture, food industry, transport, telecommunications, mining and primary processing of natural resources, energy-saving technologies and alternative energy. Interesting for investors and experts have called production competitiveness in global markets products of the steel industry and the chemical industry.
The trend of improving the investment climate in Ukraine remains, as evidenced by various rating studies.
In the annual ranking – favored investment climate indicator Doing Business-2017 Ukraine has entered the top hundred rankings occupying the 80th place.The priority sectors of the economy in developed countries – investors are mechanical engineering and metallurgy, pharmaceuticals, agriculture, food industry, transport, telecommunications, mining and primary processing of natural resources, energy-saving technologies and alternative energy. Interesting for investors and experts have called production competitiveness in global markets products of the steel industry and the chemical industry.
The trend of improving the investment climate in Ukraine remains, as evidenced by various rating studies.
In the annual ranking – favored investment climate indicator Doing Business-2017 Ukraine has entered the top hundred rankings occupying the 80th place.
| DOING BUSINESS 2017 RANKING | DOING BUSINESS 2016 RANKING | CHANGE IN RATING |
| 80 | 81 | + 1 |
| DOING BUSINESS 2017 PR ** (% points) | DOING BUSINESS 2017 PR ** (% points) | CHANGE IN RATING |
| 63,90 | 62,77 | + 1,13 |
(Http://russian.doingbusiness.org/data/exploreeconomies/ukraine/#)
We would like to point out the fact that the creation of favorable conditions for the development of the business climate in Ukraine remains the most important. In 2016, foreign direct investments came from 133 countries. From the European Union made 33154.9 million USD of investments (77.4% of total share capital) with the rest of the world – 9696.4 million (22.6% of total share capital) .On this time in Ukraine created the legal framework for investment and the development of public-private partnership. Ukrainian legislation defines guarantees of investment activity, economic and organizational basis for the implementation of public-private partnership in Ukraine. In Ukraine, foreign investors apply a national investment regime, ie, provided a level playing field with domestic investors.
In the case of the suspension of the investment activities of foreign investors are guaranteed a return on investment in kind or in investment currency without payment of tax as well as income type of investment in money or goods. The State also guarantees unimpeded and immediate transfer abroad of profits and other funds in foreign currency obtained legally as a result of the investment activity.
To improve the protection of foreign investment law of Ukraine from 16.03.2000 number 1547 Washington ratified the 1965 Convention on the Settlement of Investment Disputes between States and Nationals of Other.
Signed and ratified by the Verkhovna Rada of Ukraine intergovernmental agreement on promotion and mutual protection of investments with more than 70 countries around the world.
With a view to the proper implementation of national foreign policy and economic priorities, facilitating access of Ukrainian exporters to foreign markets, the protection of their economic and commercial interests abroad and foreign direct investment in the Ukrainian economy, in 2013 the Ministry of Foreign Affairs operates the Council of exporters and investors in Ukraine.
With a view to enhancing work on the development and implementation of the investment potential of Ukraine, the increase in foreign investments, support for priority investment projects, improving the investment climate, ensure the protection of investors’ rights, the promotion of effective interaction of investors with public authorities in 2014 by a Presidential Decree established the National Investment Council. In order to find effective mechanisms to attract foreign investment in Ukraine State Government regularly conducted business forums with the participation of potential foreign investors.
These measures are designed to improve the investment image of Ukraine and increase the volume of foreign investments and capital investments in the economy of the state. Competent policy of the state, the right strategy, a high level of human development index Ukrainians, comfortable conditions for doing business are able to improve the investment climate in the near future.