Impact of Corruption on Foreign Direct Investment in Europe

Osnovni cilj završnog rada je prikaz utjecaja korupcije na izravna inozemna ulaganja. Rad promatra kako je kretanje indeksa percepcije korupcije povezano sa smanjenjem ili povećanjem priljeva izravnih inozemnih ulaganja. Kako bi se ostvarila poveznica između korupcije i izravnih inozemnih ulaganja uzeo se uzorak od pet najviše i pet najmanje korumpiranih zemalja u Europi. Usporedbom tih pokazatelja dolazi se do zaključka da postoji poveznica između izravnih inozemnih ulaganja i korupcije. Primjećuje se da različita geografska razmještenost zemalja ima utjecaj na kretanje izravnih inozemnih ulaganja ovisno o smanjenju ili povećanju indeksa korupcije. U svakoj promatranoj zemlji se barem u jednoj promatranoj godini primjećuje da povećanjem korupcije dolazi do povećanja priljeva izravnih inozemnih ulaganja. Primjećuje se i da stabilnošću indeksa percepcije korupcije u većini promatranih zemalja izravna inozemna ulaganja rastu. Osim prikazivanja poveznice korupcije i izravnih inozemnih ulaganja u radu se navode osnovne informacije o izravnim inozemnim ulaganjima i korupciji. Osnovne informacije su navedene kako bi se razumjeli sami pojmovi i njihova srž djelovanja. U radu su navedeni projekti i programi kojima se Europska unija služi u povećanju priljeva izravnih inozemnih ulaganja i smanjenju razine korumpiranosti u zemljama članicama.The main goal of the final paper is to present the impact of corruption on foreign direct investment. The paper observes that the movement of the corruption perception index is associated with a decrease or increase in foreign direct investment inflows. To establish a link between corruption and foreign direct investment, a sample of the five most and five least corrupt countries in Europe was taken. A comparison of these indicators leads to the conclusion that there is a link between foreign direct investment and corruption. It is noted that the different geographical distribution of countries has an impact on the movement of foreign direct investment depending on the decrease or increase of the corruption index. In each observed country is noticed that at least in one observed year the increase in corruption leads to an increase in foreign direct investment inflows. It is also noted that with the stability of the corruption perception index in most of the observed countries, foreign direct investment is growing. In addition to showing the link between corruption and foreign direct investment, the paper provides basic information on foreign direct investment and corruption. Basic information is provided to understand the concepts themselves and their core operation. The paper lists projects and programs used by the European Union to increase foreign direct investment inflows and reduce the level of corruption in countries