Abstract:
In this paper, FDI is to be examined in general and specifically in Albania. In thefirst part the definition of FDI is given, its history, its positive effects or costs thatcause to the host country, effects to the economic growth and GDP, is the maintheme which will receive particular attention in this paper.In the second part is being studied the areas that the country provides for FDI and the areas where th eforeign businesses invest more in Albania and the Albanian's government policies to attract foreign direct investments. Finally, through regression analysis will betested the connection of FDI to GDP in the post-communist Albania through the years 1995-2010.
