Rasoulinezhad E., Sabri P. FEATURES AND FACTORS OF DEVELOPING THE VOLUME OF FOREIGN DIRECT INVESTMENT IN IRAN AND IN RUSSIA

DOI: https://doi.org/10.15688/ek.jvolsu.2020.2.20

Ehsan Rasoulinezhad

Doctor of Sciences (Economics), Associate Professor, Faculty of World Studies, Tehran State University, Azar St., 16, 21 Tehran, Islamic Republic of Iran, This email address is being protected from spambots. You need JavaScript enabled to view it. , https://orcid.org/0000-0002-7726-1757

Parisa Sabri

Master (Russian Studies), Faculty of World Studies, Tehran State University, Azar St., 16, 21 Tehran, Islamic Republic of Iran, This email address is being protected from spambots. You need JavaScript enabled to view it. , https://orcid.org/0000-0002-0454-0990


Abstract. The article discusses the features of foreign direct investment (FDI) in Iran and Russia from 2000 to 2018. The research methodology used in the article is focused on two main methods: theoretical and correlation analysis (using the Pearson correlation coefficient test). This test analyzes the relationship between foreign direct investment in the above countries and some macroeconomic variables. The results of the study show that economic structures and the influx of foreign direct investment in Iran and Russia are affected by Western economic sanctions, geopolitical risks and lower world oil prices. In addition, despite similar approaches to the absorption of foreign direct investment in Iran and Russia, the relationships between this indicator and macroeconomic variables (gross domestic product, inflation, employment in industry, services and agriculture, export volume and exchange rate) in these two countries differ significantly in the analyzed period (from 2000 to 2018). As a result of the analysis, it has been concluded that various factors, such as the size of the economy and the level of economic ties with developed economies, make the result of strategies and approaches to them different for these two countries.

Key words: FDI, sustainable economic development, western sanctions, Iran, Russia, geopolitical risk.

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FEATURES AND FACTORS OF DEVELOPING THE VOLUME OF FOREIGN DIRECT INVESTMENT IN IRAN AND IN RUSSIA by Rasoulinezhad E., Sabri P. is licensed under a Creative Commons Attribution 4.0 International License.

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