FOREIGN CAPITAL IN THE ECONOMY OF UKRAINE

Abstract

The article is devoted to the research the trend of attracting foreign investment in the economy of Ukraine in the context of the transformation of the global market of entrepreneurial capital. Systematic research has presented that the intensity of international capital flows is closely correlated with fluctuations in global market conditions and economic development of highly developed countries. It is determined that Ukraine, purposefully integrating into the global economy, remains a net importer on the world capital market and has an unstable pace of attracting foreign investment. The geographical and sectoral structure of FDI has a low level of diversification. The investment attractiveness of the Ukrainian economy for foreign investors is highly sensitive to fluctuations in macroeconomic and global factors. In recent years, the positioning of Ukraine's regions in investment rankings has changed significantly (administrative regions with developed infrastructure, positive democratic changes in development policy, and the priority of digitalization come to the fore). The calculation of multiplication coefficients showed that the efficiency of foreign capital use and its impact on the level of development of Ukraine's economy is still defective and does not have a steady upward trend. The research identified the main factors hindering the increase of Ukraine's international investment attractiveness (economic and political instability, bureaucratization, economic corruption, underdeveloped market infrastructure) and measures to mitigate their negative impact (increase the stability of the banking system, strengthen control over currency transfers zones, increasing the solvency of national consumers, intensifying the work of free economic zones, infrastructure development, increasing the competitiveness of domestic products, increasing investment in education).