Analysis of foreign direct investment flow in the Republic of Kazakhstan based on the accelerator model

Abstract

Foreign direct investments play a vital role in the economy of the Republic of Kazakhstan. Nowadays, foreign direct investments are considered to be one of the key aspects in economic integration of countries through creation and facilitation of beneficial links between various countries and economies. The purpose of the paper is to analyze the flow of foreign direct investment in the economy of the Republic of Kazakhstan and its impact on the gross domestic product using the theory of the multiplier-accelerator. While conducting the research the following scientific methods were employed: comparative analysis, analysis and synthesis, content analysis, logical, statistical, and mathematical, graphic. As a result of the undertaken research the features of the applying the multiplier-accelerator model were studied. Based on the collection of statistical data on the inflow of foreign investment and GDP in the Republic of Kazakhstan in the period from 2005-2021, an accelerator line was built. The main findings obtained in the course of the study made it possible to assess the impact of the inflow of foreign direct investment on the volume of gross domestic product, determine the cumulative effect and determine promising directions for the development of investment activity in the Republic of Kazakhstan.