THE DIRECT FOREIGN INVESTMENT AND ITS IMPACT ON ROMANIA'S ECONOMIC GROWTH

The issue of direct foreign investment has been and still is intensely debated both nationally and internationally. Direct foreign investment is an alternative source of financing of a national economy in many countries still under development. Direct foreign Investment global fluxes have met an outstanding increase in recent years. This article aims to demonstrate, by an empirical method, the correlation between direct foreign investment and economic growth for the Romanian economy. At the same time, we have tried to analyze the current direct foreign investment trend, its structure and dynamics in recent years. At a macroeconomic level, direct foreign investment has supported the economic growth both directly, by supplementing internal capital meant for the acquisition of fixed assets, and indirectly, by stimulating local investment, thus contributing through participatomy effects to the development of productive activities.