Page 35 - Theoretical and Practical Interpretation of Investment Attractiveness

reduction of stages and terms of implementation of
investment projects.

Concept and distribution of Integration of production

investment capital Investment activities

activity

Activation of new Development of direct and Integration factors of
investment project
production capacities portfolio investments implementation

Source: Sh. Mustafakulov Investment activity, competence and determination. Sorry, money and
credit . Scientific and practical journal. 4/2017, April (239), pp. 10–19 .
Figure 1.2.3. Factors of investment activity

The positive concentration of various factors mentioned above contributes to the active
influx of foreign investment. This, of course, means additional jobs, additional income and
additional opportunity for economic growth. Moreover, the most important thing is that
foreign investors bring with them not only capital, but also advanced knowledge and
experience from their countries. This will also ensure the future economic growth of the
country.
Naturally, all countries of the world are working to improve their investment climate.
If a country pays little attention to this issue, it will quickly lose foreign investors, since
investors are always looking for more attractive places to invest their capital. As noted, the
worse the investment climate, the higher the business risk. This is equivalent to an increase
in the cost of attracting foreign investment for the host country.
The attractiveness of a country and each region for investors is determined, first of all,
by the investment environment. Attractiveness is assessed at the macro and micro levels . At
the macro level, attractiveness covers social, political, economic and other aspects of life in
the host country.
Any potential investor, first of all, takes into account the general state of the economy
of the country/region and its individual sectors (currency, budget, credit, procedure for using
labor resources, etc.). One important thing to note: labor costs (labor is cheap, but it requires
qualifications).
32