The Relevance of Foreign Direct Investment for Sustainable Development. Empirical Evidence from European Union

Abstract

In contemporary society, foreign direct investment has often been considered as a vital source for development and even for sustainable development, one of the major goals in the world we live today, found among the areas of preoccupation for researchers and policy makers. This is the generous context in which the paper aims to discuss the relevance of FDI for sustainable development, according to its reflection in literature and an empirical research on European Union countries. The methodology uses the analysis and synthesis, data interpretation as well as data comparison. The research results, considered within the limitations determined by the research methodology and the lack of a common understanding regarding environmentally-relevant FDI definition and way of measurement, point out the importance and relevance of green FDI in EU countries, with potential to generate rather positive effects, which ultimately, at country level, are conditioned by a balance between macro and micro factors. Due to the complexity of the subject, the research may offer opportunities for future studies.

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