Importance The article reviews new trends in global flows of Foreign Direct Investment (FDI) in 2014. Objectives The article characterizes the current global flows of capital, determines the place of Russia in the process, and analyzes the principal directions of the Russian capital flight. I tried to demonstrate the role of offshore jurisdictions and identify possible scenarios for FDI in Russia. Methods The research relies upon international and national statistical data. Results The article mentions that emerging economies strengthen their significance as recipient or sources of investment. I also emphasize the growing specific weight of China, which took the lead last year as the investee, and went second as a source of investment abroad. The research analyzes the role of transnational corporations in movements of FDI, mergers and acquisitions, and considers Russia's involvement in global capital flows, indicating a reduction of inward and outward FDI in 2014 as compared with the record high indicators of 2013. The article evaluates the UNCTAD forecast for three coming years. Conclusions and Relevance Currently, the Russian economy becomes less attractive as an investee, with the ongoing recession in many regions and worsening geopolitical situation impeding the development of the Russian businesses abroad. However, Russia remains one of the leaders using offshore jurisdictions for business purposes. I conclude that Russia will have strengthened its position in the global economic system by 2017 through the EEU integration, developed practice of free trade agreements, investment projects with China and other emerging economies, and domestic reforms.
Keywords: Foreign Direct Investment, capital flight, inward investment, offshore, deoffshorization
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