FOREIGN DIRECT INVESTMENT INTO INFRASTRUCTURE

Over the last decades, Foreign Direct Investment (FDI) has become crucial for the country’s economy. Some countries are more successful than others in attracting FDI which initiated the extensive research of key determinants and modes of market entry for FDI. The author focussed on FDI into Poland’s infrastructure during the country’s transformation period, whereby the sectors banking, insurance, telecommunications, logistics and power were assigned as infrastructure sectors. The research presents the main aspects of FDI and proves that the distinction between FDI encouraging and preventing determinants is of high relevance. As part of the research, comprehensive and updated FDI statistics for the years 1989-2003 were set-up. The general results are not only applicable to Poland or limited to Eastern European Countries, but imply that they are of importance to all countries intending to attract FDI.