Inward and Outward Foreign Direct Investment in the Baltic Sea Region

BSR Policy Briefing, 3/2017, pp. 149-159

11 Pages Posted: 2 Jun 2017

See all articles by Kalman Kalotay

Kalman Kalotay

United Nations Conference on Trade and Development (UNCTAD); UNCTAD

Date Written: May 29, 2017

Abstract

This article reviews the main characteristics of both inward and outward foreign direct investment (FDI) in the Baltic Sea region. Among other questions, it explores the extent to which intra-regional flows have gained in importance over recent years. It highlights that both inflows and outflows have failed to recover quickly after the Great Recession of 2007–2009, due to problems in the Eurozone and the crisis of the Russian economy. Nevertheless, the Baltic Sea region remains a group that relies much on inward and outward FDI in economic development. It is also shown that for some of the economies, intra-grouping investment ties are important. These ties are particularly close between some neighbours and with large economies, especially Germany and Sweden.

Keywords: Investment, FDI, Baltic Sea region

JEL Classification: F21, F23, F42

Suggested Citation

Kalotay, Kalman, Inward and Outward Foreign Direct Investment in the Baltic Sea Region (May 29, 2017). BSR Policy Briefing, 3/2017, pp. 149-159. Available at SSRN: https://ssrn.com/abstract=2978599

Kalman Kalotay (Contact Author)

United Nations Conference on Trade and Development (UNCTAD) ( email )

Division on Investment, Technology and Enterprise
Palais des Nations
Geneva, 1211
Switzerland

UNCTAD ( email )

Division on Investment, Technology and Enterprise
Palais des Nations
Geneva, 1211
Switzerland

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