Munka S. S., A Postgraduate Student, the Department of Economics and International Economic Relations, the Bohdan Khmelnytsky National University of Cherkasy, Cherkasy, Ukraine

ORCID ID: 0000-0002-3811-4981
e-mail: munkastas@gmail.com

Analysis of the Influence of Foreign Trade on Investment Attractiveness of Ukraine

Annotation. Introduction. The studying process of the investment attractiveness of the Ukrainian economy remains a priority for domestic economists, because the economic growth is impossible without the involvement in investment. In order to improve the investment attractiveness of the economy it would be desirable to determine the factors and relationships that improve the corresponding indicator.

Purpose. The main purpose of the article is to analyze the impact of foreign trade on the investment attractiveness, develop projections for the investment climate in Ukraine. The definition of the role of the country’s stock index in investment attractiveness.

Results. The study reveals the concept of the investment attractiveness. The influence of export goods on investment attractiveness was investigated. A number of key export goods for the domestic economy were identified. The projections of the investment attractiveness for future periods were developed due to the price of export goods in the world market. The role of the stock index in the country’s investment climate was determined. The projections of the stock index of Ukraine were developed. Recommendations for increasing the investment attractiveness of the national economy were given.

Conclusions. Based on the research, we can draw conclusions about the strong positive correlation between the foreign trade and the investment attractiveness. Now, Ukrainian exports are commodity-focused and, as a result, the economy depends on the price of agricultural products and iron ores on the world market. The results of the study predict and an increase in the cost of food products in the world and, as a consequence, an increase in the investment attractiveness of the Ukrainian economy. Despite the positive projections for the growth of commodity prices, the export of goods with high added value goods will be more profitable option for the economy.

Keywords: investment activity; investment climate; foreign trade; economic growth; export; projection; polynomial trend line; iron or; correlation-regression analysis; stock index.

References:

1. Moroz, Yu.V. (2013). The investment climate in Ukraine and the activities of international financial organizations fot its improvement. Vinnytsia Polytechnic Institute`s Bulletin, 3, 28-34 [in Ukrainian].
2. Palyvoda, K. V. (2018). The problems of forming an attractive investment climate as a means of overcoming destruction in the Ukrainian economy. Economy and state, 3, 4-9 [in Ukrainian].
3. Kulinich, T. V. (2013). The investment attractiveness of Ukraine and possible ways to improve it in modern conditions. Bulletin of National University Lviv Polytechnic. Problems of Economics and Management, 754, 34-40 [in Ukrainian].
4. Rzayev, I. (2016). The assessment methods of the investment attractiveness at the country level and the prospects for their use in economic analysis. Bulletin of Khmelnytsky National University. Economic sciences, 3 (1), 137-143 [in Ukrainian].
5. Savina, B. (2014). Assessment of the investment attractiveness as the development of the logistics sector of the country’s economy. Scientific works of Donetsk National Technical University. Series : Economic, 5, 195-204 [in Ukrainian].
6. Kharchenko, A. & Golenishcheva, O. (2020). The investment attractiveness of the country and its components. Bulletin of National Technical University Kharkov Polytechnic Institute, 1, 18-23 [in Ukrainian].
7. Ovcharenko, S., & Stepanova, A. A. (2017). Methodological approaches to determining the investment strategy of Ukraine’s promotion. Collection of scientific papers Young Scientist, 5 (45), 684-689 [in Ukrainian].
8. PFTS Stock Exchange. (2020). Wikipedia : website. Retrieved from : https://uk.wikipedia.org/wiki/%D0%A4%D0%BE%D0%BD%D0%B4 %D0%BE%D0%B2%D0%B0_%D0%B1%D1%96%D1%80%D0%B6%D0%B0_%D0%9F%D0%A4%D0%A2%D0%A1. [in Ukrainian].
9. The Ministry of Economic Development, Trade and Agriculture of Ukraine : official website. Retrieved from : https://www.me.gov.ua/. [in Ukrainian].
10. PFTS Stock Exchange: official website. Retrieved from : https://pfts.ua/trade-info/indexes/shares-indexes. [in Ukrainian].
11. State Statistics Service of Ukraine : official website. Retrieved from : http://www.ukrstat.gov.ua/ [in Ukrainian].
12. Financial information provider. Yahoo finance: website Retrieved from : https://finance.yahoo.com/ [in Ukrainian].