Foreign Direct Investment in the Context of the Economic Recession in Slovakia

Alžbeta Kucharčíková^1,

¹Faculty of Management Science and Informatics, University of Žilina, Slovak Republic

Cite this paper:
Alžbeta Kucharčíková. Foreign Direct Investment in the Context of the Economic Recession in Slovakia. Journal of Finance and Economics. 2013; 1(1):1-7. doi: 10.12691/jfe-1-1-1

Abstract

Slovakia is one of the small economies, for which it is necessary to participate in international trade and for which exports and imports are an important item of gross domestic product. Foreign direct investment flows into the open countries with underpowered own resources, which are involved in various forms of international economic integration. Foreign investment brings benefits not only for himself an investor, but also the economy of the host. The aim of article is to inform about results of research which analyzed the evolution of foreign direct investment in the context of the economic recession in Slovakia and compared this development with the world and V4 countries. Based on research, we found out that the economic recession has caused a significant decline in foreign direct investment inflows in Slovakia, in V4 countries and worldwide. The distribution of foreign direct investment enterprises in the regions of Slovakia is considerably uneven. Most of the investment goes to more advanced regions.

Keywords:
foreign direct investment economic recession state aid regions jobs

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