Page 33 - bne IntelliNews Ukraine Country Report May 2017

5.2 FDI
FDI
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 EFFF
Net FDI (US$bn) 9.2 9.9 4.7 5.8 7 7.2 4.1 0.3 2.9 3.7 4.3 4.3 4.3
Net FDI (% of 6.4 5.4 4.1 4.2 4.3 4.1 2.3 0.2 3.3 4 4.3 3.9 3.5 GDP)
C/A bal. + net FDI 2.8 -1.6 2.6 2 -2 -4.1 -6.9 -3.3 3.1 0.3 1.6 -0.3 -0.1 (% of GDP)
Source: ICU
The Ukrainian government forecasts the net inflow of foreign direct investment (FDI) at $4.5bn in 2017, up from last year's $3.8bn , First Deputy Minister of Economic Development and Trade Maksym Nefyodov said at a roundtable on January 24. Ukraine expects FDI inflow to reach $8 billion in 2020.
The bulk of investments came into the financial sector last year as foreign owners recapitalise their banks. However, the government expects more investment activities in the real sector in 2016.
Nefyodov added that the government expects net FDI inflow of $8bn in 2020 if reforms and economic modernisation in Ukraine continue.
Russia was the main investor in Ukraine in the first half of 2016 , accounting for $1.3bn in FDI, according to official data. The result was attributed to the recapitalisation of Ukrainian subsidiaries of Russian banks.
Foreign investments have fallen steadily in the last three years from $4.6bn invested into 82 new projects in 2013, then $858.2mn in 25 projects in 2014, and $484mn in 19 projects in 2015, according to fDi Markets.
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