Foreign direct investment and its impact on the economic development of countries

The orientation of economic policy is a keystone factor for the success of national economies. The creation of economic policy is especially important in the transition countries. It is necessary to identify factors that ensure economic growth in terms of transforming economy so that it could be achieved a permanent reduction in the difference of economic performance in comparison with developed countries. There is a comparison with the original EU 15, of which some of the transition countries of Eastern and Central Europe have become members recently. One of the factors that influence the economic growth and that is especially for transitions economies essential, is the inflow of foreign direct investment (FDI). They could be in form of green-field direct investment or in form of mergers and acquisitions (M&A).