Handjiski, Borko2012-03-192012-04-042012-03-192012-04-042009978-0-8213-7861-8https://hdl.handle.net/10986/2595https://hdl.handle.net/10986/5920The purpose of this note is to provide policy insights to decision makers, academics, and researchers on the trends in investment in Southeast Europe (SEE). A comprehensive assessment of what determines investment is essential to identify, to the extent needed, policy actions that stimulate it. The report looks more in-depth into private investment trends in SEE, and explores some determinants of private investment, such as: the financing sources for investment, the contribution of Foreign Direct Investment (FDI), and the role of public investment. The selection has been made based on the relative importance and data availability for the SEE economies. Some key determinants of investment such as political stability and business environment have not been included because these are already well covered in the existing literature. Overall, the report aims to assess not only the quantity but also the quality of investment. It should be noted that while (investment in) human capital is equally, if not more, important for economic growth, its role and patterns in SEE are beyond the scope of this report.CC BY 3.0 IGOACCESS TO EXTERNAL FINANCEACCESS TO FINANCEACCESS TO SERVICESADVANCED TECHNOLOGYADVISORY SERVICEAFFILIATED ORGANIZATIONSAFFORDABILITYAFFORDABILITY OF ACCESSAGRICULTUREAVAILABILITY OF CREDITAVERAGE PRODUCTIVITYBANK CONSOLIDATIONBANKING SECTORBANKSBUSINESS ACTIVITIESBUSINESS ACTIVITYBUSINESS CLIMATECAPACITY UTILIZATIONCAPITAL ACCUMULATIONCAPITAL BASECAPITAL EXPENDITURECAPITAL EXPENDITURESCAPITAL FLOWSCAPITAL INVESTMENTCAPITAL MARKETCAPITAL MARKET DEVELOPMENTSCAPITAL MARKETSCAPITAL OUTLAYSCAPITAL STOCKCENTRAL BANKSCOMPETITIVENESSCONTINGENT LIABILITIESCONTRIBUTIONCORPORATE BONDCORPORATE BOND ISSUESCORRUPTIONCREDIT CRUNCHCREDIT GROWTHDEBTDEVELOPING COUNTRIESDOMESTIC BANKSDOMESTIC CAPITALDOMESTIC CONSUMPTIONDOMESTIC INVESTMENTECONOMETRIC ANALYSISECONOMIC ACTIVITYECONOMIC DEVELOPMENTECONOMIC GROWTHECONOMIC JUSTIFICATIONECONOMIC PERFORMANCEECONOMIC RESEARCHEDUCATION PROGRAMSEMPLOYEEENABLING ENVIRONMENTENTERPRISE PERFORMANCEEXPENDITURESFINANCIAL AFFAIRSFINANCIAL DEPTHFINANCIAL DEVELOPMENTFINANCIAL INTERMEDIATIONFINANCIAL MARKETSFINANCIAL OBLIGATIONSFINANCIAL SECTORFINANCIAL SECTORSFINANCIAL SERVICESFINANCING OF INVESTMENTFISCAL CONSTRAINTSFISCAL SUSTAINABILITYFIXED ASSETSFIXED CAPITALFOREIGN BANKSFOREIGN COMPANIESFOREIGN DIRECT INVESTMENTFOREIGN FIRMSFOREIGN INVESTMENTFOREIGN INVESTORSFOREIGN LOANSFOREIGN OWNERSHIPFUTURE GROWTHGDPGOVERNMENT EXPENDITUREGOVERNMENT POLICIESGROSS FIXED CAPITAL FORMATIONGROWTH POTENTIALHEAVY INVESTMENTSHOST ECONOMIESHOUSEHOLD BORROWINGHUMAN CAPITALHUMAN CAPITAL DEVELOPMENTINCOMEINFORMATION INFRASTRUCTUREINITIAL CAPITALINITIAL PUBLIC OFFERINGINSURANCEINTERNATIONAL BANKINVENTORYINVESTINGINVESTMENT ACTIVITYINVESTMENT BY SECTORINVESTMENT FLOWSINVESTMENT GROWTHINVESTMENT NEEDSINVESTMENT PATTERNSINVESTMENT PROJECTSINVESTMENT RATESINVESTMENT SPENDINGKNOWLEDGE ECONOMYLABOR FORCELACK OF ACCESSLEGAL FRAMEWORKLEVYLIQUIDITYLIQUIDITY CRISISLIVING STANDARDSLOCAL BANKSMARGINAL PRODUCTIVITYMARKET CAPITALIZATIONMARKET DEEPENINGMARKET DEVELOPMENTSMONETARY FUNDNATIONAL SAVINGNATIONAL SAVINGSNATURAL RESOURCESNEW ENTREPRENEURSOPPORTUNITY COSTSPHYSICAL CAPITALPOLITICAL STABILITYPORTFOLIOPORTFOLIO FLOWSPOSITIVE EFFECTSPRIVATE CAPITALPRIVATE INVESTMENTPRIVATE INVESTMENT RATESPRIVATE INVESTMENTSPRIVATE SAVINGSPRIVATE SECTOR CREDITPRIVATIZATIONPRODUCTION COSTSPRODUCTION FUNCTIONPRODUCTIVITYPRODUCTIVITY INCREASESPROFITABILITYPROSPERITYPUBLIC ASSETSPUBLIC FINANCEPUBLIC INVESTMENTPUBLIC INVESTMENTSPUBLIC POLICYPUBLIC SAVINGSPUBLIC SPENDINGRAPID GROWTHRATE OF RETURNREAL ESTATEREGULATORY FRAMEWORKREMITTANCEREMITTANCESRETURNSRULE OF LAWSALESAVINGSSAVINGS RATESSHARE OF INVESTMENTSMALL FARMSSOCIAL SERVICESSPECULATIONSTATEMENTSTATISTICAL DATASTOCK EXCHANGESSTOCK MARKETSTOCK MARKET CAPITALIZATIONSTOCK MARKETSSUPPLY CHAINSTELECOMMUNICATIONSTELECOMMUNICATIONS EQUIPMENTTOTAL FACTOR PRODUCTIVITYTOTAL FACTOR PRODUCTIVITY GROWTHTOTAL OUTPUTTRADE FINANCETRADINGTRADING COSTSTRANSITION COUNTRIESTRANSITION ECONOMIESTURNOVERUNDERDEVELOPED FINANCIAL SECTORUNEMPLOYMENTUNEMPLOYMENT RATESUNIONVALUABLEVALUE ADDEDVENTURE CAPITALWORTHWorld Bank10.1596/978-0-8213-7861-8