Sectoral distribution of foreign direct investments and investigation of energy sector in Kyrgyzstan

The study starts with the description the theoretical information about foreign direct investments, then analyze focused on foreign direct investment developments in Kyrgyzstan and its determinants and in the last chapter investment in the energy sector will be discussed.In the first chapter of the study, definition, importance and classification of foreign direct investments and reasons why businesses directed to foreign direct investment and the major recent developments explained in detail. Also, in the conditions of rapidly changing technology, globalized competition and the risks associated with increasing uncertainty, the ways have been drawn for entrepreneurs to be active in international businesses. In order to avoid of negative effects, such as state constraints, the lack of production resources, and increased costs or to maintain the competitiveness, what kind of cooperation enterprises, especially multinational companies should apply have been discussed. Also the models and approaches related to concept of foreign direct investment have been discussed.The second chapter starts with the analyzing the historical development of foreign direct investment in the world, the distribution by regions and countries and overall situation of direct investments in Central Asian countries and later presented the investment environment of Kyrgyzstan. Then Kyrgyzstan?s National Investment Policy, the objectives and tasks are described. Kyrgyzstan's investment policy is applied fields will be discussed. In addition, the laws and regulations necessary for foreign direct investment in Kyrgyzstan are described. Examining the regional distribution of foreign direct investment and economic sectors will be discussed by Kyrgyzstan's investment climate. It will also be considered a company with foreign capital operating in Kyrgyzstan and countries which invest in economy of Kyrgyzstan.In the third chapter will be investigated the structure of the energy sector in Kyrgyzstan, status of using energy and opportunities of investment, the factors that constitute the potential of electrical energy, energy demand and energy consumption potential, energy distribution according to energy production. Significant sources of energy production and use, description of some of the energy companies operating in Kyrgyzstan and financial analysis will be performed. In addition, will be analyzed the cost of electricity produced in Kyrgyzstan.Keywords: Foreign Direct Investment, Kyrgyzstan, Central Asia, Energy Sector, Hydro-Electric Power Plants, Cost Analysis.