FOREIGN CAPITAL INFLOW IN THE PREVIOUS PERIOD, EFFECTS OF FINANCIAL STABILITY AND FUTURE DIRECTIONS OF THE ECONOMY, (one view of financing development of Serbia)

Abstract

Manage and direct control over the finances of economic growth and development is an essential and crucial assumption for all developing countries. Developing countries are at a crossroads and a crucial choice of how to finance economic development and provide technology transfer and not interfere with monetary and financial stability. The subject of this paper is an overview of engagement and the inflow of foreign capital over a long period of time in Serbia and developing countries, the use of positive experiences and effects of foreign capital had in the previous period in developing countries and the prospects of seeing buduđeg economic development of Serbia. The work does not exclude foreign accumulation of the already known forms of capital involvement and influence on economic development but also indicates and points to a lack of affirmative areas and industries that could affect the rapid development and increasing economic and industrial activities of the country and the experiences of other countries.