The Influence of Direct Foreign Investments on Romania’s Economic Growth in the Context of the COVID-19 Pandemic

Abstract

Direct foreign investments (DFI) reflect an important characteristic in the development of the world economy, representing the main external funding source for any type of economy, both developed and less developed. These are considered stable motors of the economic growth, as they are based on the long-term relation between the investors and the concerned countries, increasing the flow of foreign investments and thus becoming a target pursued by any government. The objective of this article is the analysis of DFI, the relations between them, the benefits it brings to the economy, the impact of the main macroeconomic indicators on the economic growth with accent on DFI and last, but not least, of the effect that it may have on the economy in the context of the COVID-19 pandemic.

Keywords

• direct foreign investments
• economic development
• growth rate of gdp
• net flows of dfi
• covid-19 pandemic