Valuation of the Swedish direct investment territorial allocation in the context of Latvian commercial property development

Abstract

The analysis of the neighboring countries economical activities is indispensable input into the economic recovery process. The Baltic States regions territory has incontestably attractive economical political location. However, the biggest part of the neighboring countries investments flow is distributed to other partner territories. The research object is the Swedish direct investments flow. Historically, the Swedish capital had a noticeable impact on the Latvian national economy: trade, manufacture, services and education. Nevertheless, a share of the Swedish capital in the total fixed-capital assets of the Latvian companies as well as the targeted economy branch choice in the latest decade period has fluctuation tendency. The primary focus is to specify the fundamental range of influence on the models the territorial sustainable economic development. The research goal is the analysis of the territorial particularities and characteristics. The investigation comprises such territory developments aspects as capacity of the vacant land, attitude between urbanization and manufacturing capacity’s allocation, inland resources and its potential, history of the country’s economically political collaboration. The current scientific article contains a study of the leading branches of the Swedish business inland and attraction and use of the resources from the partner countries. The authors study results on the European climate change until 2035 gained from the ENSEMBLES projects results data are used to formulate conceptualization of the Swedish partner model on the territorial sustainable development. According to one of the conclusions, the overseas foreign direct investments share is dominated over the Swedish land partner countries share in the companies’ fixed-capital assets. The similar tendency characterizes the Latvian state territory’s economic policy, which might not be expedient. The carried research is a part of the investigation on the models of the Latvian powerful neighbor countries investments allocation. The results will be applied for the Latvian territory’s economic planning model.