Agrarian Economy 2021 Т. 14 № 3-4: 109-115

CURRENT STATE OF FOREIGN INVESTMENT IN UKRAINIAN AGRICULTURE

N. Zelisko, Candidate of Economic Sciences, associate professor
ORCID ID: 0000-0002-2467-5585
Lviv National Agrarian University

https://doi.org/10.31734/agrarecon2021.03-04.109

ANNOTATION

The article is devoted to the issues of foreign investment in Ukraine, since effective implementation of investment activity is important for development of the Ukrainian economy at the present stage and increase of the enterprises’ competitiveness, necessary for their integration into the European socio-economic space. The development trends in foreign investment to agriculture have been analysed. Gradual deterioration of the prerequisites for development of agricultural foreign investments has been found by studying the trends of foreign investment in agriculture on the basis of statistical analysis of the dynamics of indicators of the amount of attracted foreign direct investment, their share in gross value added, gross agricultural income, labour productivity in agricultural production, and others. The investment attractive factors contributing to the expansion of investment ties of Ukraine, namely, the presence of rich natural resources and production capacities; developed infrastructure; relatively cheap and skilled labor; large capacious and almost competitive unlimited domestic market for most commodity items; scientific potential, etc. are analyzed. The threats of foreign investment for the host country are identified.

It has been determined that the main reason for the lack of strategic foreign investments in agriculture in Ukraine is the unfavourable investment climate. The findings of this study made it possible to draw a conclusion that foreign investment is one of the most effective instruments to develop agriculture and ensuring its competitiveness. Foreign sources of investment cannot play the role of the main lever of economic growth, but if they are justified and rationally used, even insignificant revenues will contribute to the revitalization of agricultural production, increase of its efficiency. The measures, offered for the increase of level of investment attractiveness of the agro- industrial complex, will not be able to do the industry attractive for investors, but will help to stabilize present position of agricultural enterprises, to improve their financial and productive indexes and to lay the reliable foundation for effective activity in the field of investing in general and to the agro-industrial complex of Ukraine in particular.

KEY WORDS

investment, investment activity, investment climate, investment attractiveness, capital investment, foreign direct investment, agriculture

FULL TEXT

LINK

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