Financial Infrastructure of Investments Flows between Developed and Developing Countries

This article describes the main areas of foreign investments and the problem of the under-utilization of capacities of developing countries due to incorrect interpretation of the stakeholders' behavior. Four hypotheses were studied in this article and, as a result, there were formed suggestions for solving the underlying problem. Research proves that it is necessary to encourage public-private partnerships, to raise capital needed for the development of regional projects. Summing up all mentioned above, it could be suggested that foreign direct investment is a very important financial indicator in the 21st century. While the need in foreign investments sharply arises, more and more problems appear for the developing countries, looking forward to attracting investors' attention. Initially, investors mostly tend to profit, but the fear of not getting it at all, the loss of their funds, stops investors from putting their money in the developing economies.