Foreign direct investment and technology transfer: unlocking Serbia’s growth potential

• Autorzy: Pejić Sonja , Tomašević Ana Nešić

Identyfikatory

DOI

10.2478/emj-2025-0022

• Języki publikacji: EN

Abstrakty

EN

This paper examines the effects of foreign direct investments (FDIs) on economic development and the transfer of knowledge and technology (technology spillover) in developing countries, specifically focusing on the Republic of Serbia. The analysis is based on a comparative review of EU countries and Serbia in terms of statistical data on R&D activities and patent applications. The study synthesises existing research and proposes a methodological framework for future empirical studies. Findings indicate that technology spillover - horizontal and vertical - has not yet reached the desired levels in Serbia. Despite the presence of FDIs, the anticipated improvements in domestic innovation and technological advancement remain limited. This study contributes to the literature by contextualising technology spillover in Serbia and identifying gaps in its realisation. It also provides a foundation for future research on the mechanisms by which FDIs influence domestic enterprise performance and national economic development. The paper offers insights for policymakers and business leaders seeking to maximise the FDI benefits. It suggests the need for strategic policies to enhance technology transfer, support domestic R&D, and foster stronger linkages between foreign investors and local firms to accelerate economic development.

Słowa kluczowe

EN

foreign direct investments; technology spillover; knowledge; technology; Serbia; EU

PL

bezpośrednie inwestycje zagraniczne; transfer technologii; wiedza; technologia; Serbia; UE

• Wydawca: Oficyna Wydawnicza Politechniki Białostockiej
• Czasopismo: Engineering Management in Production and Services
• Rocznik: 2025
• Tom: Vol. 17, no. 3
• Strony: 101--112
• Opis fizyczny: Bibliogr. 74 poz., tab.

Twórcy

autor

Pejić Sonja

• University of Novi Sad, Trg Dositeja Obradovića 6, 21000 Novi Sad, Serbia

• https://orcid.org/0000-0002-8349-8339

autor

Tomašević Ana Nešić

• University of Novi Sad, Trg Dositeja Obradovića 6, 21000 Novi Sad, Serbia

• https://orcid.org/0000-0002-8386-4669

Bibliografia

• Acemoglu, D. (2014). Technological change. Lecture 2. Knowledge spillovers and diffusions. Retrieved from https://economics.mit.edu/files/9880
• Aitken, J. B., & Harrison, A. (1999). Do domestic firms benefit from direct foreign investment? Evidence from Venezuela, The American Economic Review, 89(3), 605-618.
• Akin, M. S., & Vlad, V. (2011). The relationship between education and foreign direct investment: testing the inverse u shape. European Journal of Economic and Political Studies, 4(1), 27-46.
• Annual Bulletin. (2023). Chamber of Commerce and Industry of Serbia. Retrieved from https://en.pks.rs/ industry-associations/association-11
• Antevski, M. (2011). Foreign direct investments and the adoption of a new knowledge. In M. Antevski (Ed.), Development Potential of Foreign Direct Investments: International Experiences (pp. 123-139). Belgrade, Serbia: Institute of International Politics and Economic.
• Arrow, J. K. (1962). The economic implications of learning by doing. The Review of Economic Studies, 29(3), 155 173.
• Beugelsdijk, S., Smeets, R., & Zwinkels, R. (2008). The impact of horizontal and vertical FDI on host’s country economic growth. International Business Review, 17, 452-472.
• Carkovic, M., & Levine, R. (2005). Does foreign direct investment accelerate economic growth? In T. H Moran, T. H., Graham, E. M. & M. Blomstrom (Eds.), Does Foreign Direct Investment Promote Development? (pp. 195-220). Washington, USA: Institute for International Economics, Center for Global Development.
• Carta Informativa. (2003). Foreign direct investments and development: The case of Bolivia. Retrieved from https://www.odi.org/sites/odi.org.uk/files/odi assets/publications-opinion-files/5549.pdf
• Cincera, M. (1997). Patents, R&D, and technological spillovers at the firm level: some evidence from econometric count models for panel data. Journal of Applied Econometrics, 12(3), 265-280.
• Development Agency of Serbia. (2018). Zašto investirati u Srbiju [Why invest in Serbia?]. Retrieved from https://ras.gov.rs/uploads/2018/05/why-invest-april 188-sr-1.pdf Development Agency of Serbia. (2019). Uredba o određivanju kriterijuma za dodelu podsticaja radi privlačenja direktnih ulaganja [Regulation on determining criteria for granting incentives to attract direct investments]. Retrieved from https://ras. gov.rs/uploads/2019/01/uredba-o-odredjivanju kriterijuma-za-dodelu-podsticaja-radi-privlacenja direktnih-ulaganja-1.pdf
• Dugalić, V. (2017). Strane direktne investicije - trendovi i očekivanja [Foreign direct investment - trends and expectations]. Bankarstvo, 46(3), 6-13.
• European Comission. (2023). ERA Country Report 2023: Serbia. Retrieved from https://european research-area.ec.europa.eu/sites/default/files/ documents/202404/ERA%20Country%20Report% 202023%20Serbia_FINAL.pdf
• European Patent Office. (2018). European patent applications 2009-2018 per country of residence of the applicant. Retrieved from https://www.epo.org/ about-us/annual-reports-statistics/statistics.html
• European Patent Office. (2018). Top 100 applicants. Retrieved from https://www.epo.org/about-us/ annual-reports-statistics/statistics.html
• Eurostat. (2016). Human resources in science and technology. Retrieved from https://ec.europa.eu/eurostat/ statistics-explained/index.php?title=File:Human_ resources_in_science_and_technology_2016_(%25_ share_of_total_labour_force_aged_15-74)
• Eurostat. (2024). R&D Personnel. Retrieved from https:// ec.europa.eu/eurostat/statistic-explained/index.php/ R_%26_D_personnel
• Eurostat. (2024). R&D spending by country. Retrieved from uis.unesco.org/apps/visualisations/research-and development-spending/
• Farole, T., & Winkler, D. (2015). The role of foreign f irm characteristics, absorptive capacity and the institutional framework for FDI spillovers. Journal of Banking and Financial Economics, 1(3), 77-112.
• Gerschenkron, A. (1962). Economic Backwardness in Historical Perspective. A Book of Essays. Cambridge, United Kingdom: Harvard University Press.
• Greenhalgh, C., & Rogers, M. (2010). Innovation, Intellectual Property and Economic Growth. New Jersey, USA: Princeton University Press.
• Gugler, P., & Vanoli, L. (2015). Technology-sourcing investment abroad as an enhancer of Chinese MNSs’ innovative capabilities. International Journal of Emerging Markets, 10(2), 243-271.
• Hadžić, M., & Pavlović, P. (2011). How to overcome (SME) crisis: Serbian case. Acta Polytechnica Hungarica, 8(1), 61-80.
• Herzer, D., Klasen, S., & Nowak-Lehmann, F. D. (2008). In search of FDI-led growth in developing countries: T he way forward. Economic Modelling, 25(5), 793 810.
• Ignjatijević, S. (2015). Ekonomska analiza značaja direktnih stranih investicija [Economic analysis of the importance of foreign direct investment]. Oditor, 11, 4-16.
• Jaffe, B. A. (1986). Technological opportunity and spillovers of R&D: Evidence from firms’ patents, profit, and market value. American Economic Review, 76(5), 984-1000.
• Lehnert, K., Benmamoun, M., & Zhao, H. (2013). FDI inflow and human development: Analysis of FDI’s impact on host countries’ social welfare and infrastructure. Thunderbird International Business Review, 55(3). doi: 10.1002/tie.21544
• Leoncini, R., & Montresor, S. (2003). Technological Systems and Intersectoral Innovation Flows. London, United Kingdom: Edward Elgar Pub.
• Macrotrends. (2025). Serbia Foreign Direct Investment 2007 2025. Retrieved from https://www.macrotrends.net/ global-metrics/countries/SRB/serbia/foreign-direct investment
• Malebra, F., Macusi, M. L., & Montobbio, F. (2007). Innovation and knowledge spillover: Evidence from European data. Review of World Economics, 149(4), 1-35.
• Narula, K. (2012). ‘Sustainable Investing’ via the FDI route for sustainable development, Procedia - Social and Behavioral Sciences, 37, 5-30.
• National Bank of Serbia. (2024). Platni bilans Republike Srbije po mesecima [Balance of payments of the Republic of Serbia by months]. Retrieved from https:// www.nbs.rs/internet/cirilica/80/platni_bilans.html
• National Bank of Serbia. (2024). Strana direktna ulaganja, neto obaveze, po delatnostima [Foreign direct investment, net liabilities, by activity]. Retrieved from www.nbs.rs/internet/cirilica/80/platni_bilans.html
• Nešić Tomašević, A., Sitarević, A., Marković, M., Ivetić, O., Meško, M., & Qureshi, F. (2025). Addressing Socio-Economic Drivers of Management Style Evolution: Embracing Complexity Leadership Solutions. Strategic Management. doi: 10.5937/ StraMan2400016N
• Nikolić, I. (2021). Does foreign investment improve technical efficiency of manufacturing? Evidence from the Republic of Serbia. Индустрија, 49(2), 43 56.
• Pejić, S. (2012). Nezaposlenost mladih i odliv mozgova u Republici Srbiji: analiza socijalno sistemskih uslova [Youth unemployment and brain drain in the Republic of Serbia: analysis of social system conditions]. In A. Lošonc (Ed.), Socijalni identitet u uslovima krize: zaposlenost i nezaposlenost [Social identity in times of crisis: employment and unemployment] (pp. 68-79). Novi Sad, Serbia: Fakultet tehničkih nauka.
• Pejić, S., & Radivojević, R. (2018). Sociološki pogled na inženjersku profesiju u modernom društvu [A sociological view of the engineering profession in modern socjety]. In D. Đorđević & B. Ćurović (Eds.). Rad, inženjerstvo i profesionalna etika u doba globalizacije [Work, engineering and professional ethics in the era of globalization] (pp. 42-51). Novi Sad, Serbia: Prometej.
• Radivojević, R., & Pejić, S. (2018). Scientific and technical potential, digitalization and social change. In The 4th International Conference »Mechanical Engineering in XXI Century« Proceedings 19-20. 04. 2018 (pp. 489 493). Niš, Serbia: Mašinski fakultet.
• Republički zavod za statistiku u Beogradu [Statistical Office of the Republic of Serbia in Belgrade]. (2019). Anketa o radnoj snazi u Republici Srbiji [Labor Force Survey in the Republic of Serbia].
• Romer, M. P. (1986). Increasing returns and long-run growth, The Journal of Political Economy, 94(5), 1002-1037.
• Šabić, D., Vujadinović, S., Milinčić, M., Golić, R., Stojković, S., Joksimović, M., Filipović, D., & Šećerov, V. (2012). The impact of FDI on the transitional economy in Serbia - changes and challenges. Acta Polytechnica Hungarica, 9(3), 65-84.
• Solow, M. R. (1956). A contribution to the theory of economic growth. The Quarterly Journal of Economics, 70(1), 65-94. Solow, M. R. (1957). Technical change and the aggregate production function. The Review of Economics and Statistics, 39(3), 312-320.
• Sredojević, D., Cvetanović, S., & Bošković, G. (2016). Technological changes in economic growth theory: Neoclassical, endogenous, and evolutionary institutional approach. Economic Themes, 54(2), 177-194.
• Statistical Office of the Republic of Serbia. (2020). Government budget appropriations or outlays for R&D, 2019/2020. Retrieved from https://publikacije. stat.gov.rs/G2020/PdfE/G20201148.pdf
• Statistical Yearbook. (2008). Beograd: Republički zavod za statistiku [Belgrade: Statistical Office of the Republic of Serbia]. Retrieved from pod2.stat.gov.rs/ objavljenepunlikacije/g2008/pdf/g20082003.pdf Statistical Yearbook. (2009). Beograd: Republički zavod za statistiku [Belgrade: Statistical Office of the Republic of Serbia]. Retrieved from publikacije.stat.gov.rs./ G2009/pdfE/G20092003.pdf
• Statistical Yearbook. (2011). Beograd: Republički zavod za statistiku [Belgrade: Statistical Office of the Republic of Serbia]. Retrieved from https://media.srbija.gov.rs/ medsrp/dokumenti/SGS2011_cyr.pdf
• Statistical Yearbook. (2012). Beograd: Republički zavod za statistiku [Belgrade: Statistical Office of the Republic of Serbia]. Retrieved from pod2.stat.gov.rs/ ObjavljenePublikacije/G2012/pdf/G20122007.pdf
• Statistical Yearbook. (2013). Beograd: Republički zavod za statistiku [Belgrade: Statistical Office of the Republic of Serbia]. Retrieved from pod2.stat.gov.rs/ ObjavljenePublikacije/G2013/pdfE/G20132010.pdf
• Statistical Yearbook. (2014). Beograd: Republički zavod za statistiku [Belgrade: Statistical Office of the Republic of Serbia] Retrieved from pod2stat.gov.rs/ ObjavljenePublikacije/G2014/pdfE/G20142013.pdf
• Statistical Yearbook. (2015). Beograd: Republički zavod za statistiku [Belgrade: Statistical Office of the Republic of Serbia]. Retrieved from pod2.stat.gov.rs/ ObjavljenePublikacije/G2015/pdf/G20152016.pdf
• Statistical Yearbook. (2016). Beograd: Republički zavod za statistiku [Belgrade: Statistical Office of the Republic of Serbia]. Retrieved from pod2.stat.gov.rs/ ObjavljenePublikacije/G2016/pdf/G20162019.pdf
• Statistical Yearbook. (2017). Beograd: Republički zavod za statistiku [Belgrade: Statistical Office of the Republic of Serbia]. Retrieved from pod2.stat.gov.rs/ ObjavljenePublikacije/G2017/pdf/G20172022.pdf
• Statistical Yearbook. (2018). Beograd: Republički zavod za statistiku [Belgrade: Statistical Office of the Republic of Serbia]. Retrieved from publikacije.stat.gov.rs/ G2018/Pdf/G20182051.pdf
• Statistical Yearbook. (2019). Beograd: Republički zavod za statistiku [Belgrade: Statistical Office of the Republic of Serbia]. Retrieved from https://www.stat.gov.rs/ publikacije/publication/?p=12102
• Statistical Yearbook. (2020). Beograd: Republički zavod za statistiku [Belgrade: Statistical Office of the Republic of Serbia]. Retrieved from https://www.stat.gov.rs/sr latn/publikacije/publication/?p=12694&tip=2
• Statistical Yearbook. (2021). Beograd: Republički zavod za statistiku [Belgrade: Statistical Office of the Republic of Serbia]. Retrieved from https://publikacije.stat.gov. rs/G2021/pdfE/G20212054.pdf
• Statistical Yearbook. (2022). Beograd: Republički zavod za statistiku [Belgrade: Statistical Office of the Republic of Serbia]. Retrieved from https://www.stat.gov.rs/sr latn/publikacije/publication/?p=14853&tip=2
• Statistical Yearbook. (2023). Beograd: Republički zavod za statistiku [Belgrade: Statistical Office of the Republic of Serbia]. Retrieved from https://www.stat.gov.rs/sr latn/publikacije/publication/?p=15431&tip=2
• Statistical Yearbook. (2024). Beograd: Republički zavod za statistiku [Belgrade: Statistical Office of the Republic of Serbia]. Retrieved from https://www.stat.gov.rs/sr latn/publikacije/publication/?p=15984&tip=2
• Stiglitz, E. J., & Greenwald, B. C. (2014). Creating a Learning Society. A New Approach to Growth, Development and Social Progress. New York, USA: Columbia University Press.
• Stojanović, D. (2018). Strane direktne investicije, izvoz i ekonomski rast u Srbiji [Foreign direct investment, exports and economic growth in Serbia]. Poslovna ekonomija, 22(1), 54-72.
• Trading Economics. (2025). Serbia - Researchers In R&D. Retrieved from https://tradingeconomics.com/ serbia/researchers-in-r-d-per-million-people-wb data.html
• United Nations Publication. (2018). UNCTAD World Investment Report 2018. Retrieved from https:// unctad.org/en/PublicationsLibrary/wir2018_en.pdf
• Verspagen, B. (1997). Measuring intersectoral technology spillovers: Estimates from the European and US Patent Office databases. Economic System Research, 9, 47-65.
• Voica, M. C., Panait, M., & Haralambie, A. G. (2015). The impact of foreign direct investment on sustainable development. Economic Insights - Trends and Challenges, 4(67), 89-103.
• Vujanović, N., Radošević, S., Stojčić, N., Hisarciklilar, M., & Hashi, I. (2022). FDI spillover effects on innovation activities of knowledge using and knowledge creating firms: Evidence from an emerging economy. Technovation, 118, 102512. doi: 10.1016/j.technovation.2022.102512
• Vukmirović, V., Kostić-Stanković, M., Pavlović, D., Ateljević, J., Bjelica, D., Radonić, M., & Sekulić, D. (2020). Foreign Direct Investments’ Impact on Economic Growth in Serbia. Journal of Balkan and Near Eastern Studies, 23(1), 122-143. doi: 10.1080/19448953.2020.1818028
• Wang, C., & Zhao, Z. (2008). Horizontal and vertical spillover effect of foreign direct investment in Chinese manufacturing. Journal of Chinese Economic and Foreign Trade Studies, 1(1), 8-20.
• World Intellectual Property Organization. (2018). Global Innovation Index. Retrieved from https://www. globalinnovationindex.org/gii-2018-report#
• World Intellectual Property Organization. (2023). Intellectual property statistics - Serbia. Retrieved from https://www.wipo.int/edocs/statistics-country profile/en/rs.pdf
• Yip, G., & McKern, B. (2014). Innovation in emerging markets - the case of China. International Journal of Emerging Markets, 9(1), 2-10.
• Zavod za intelektualnu svojinu [Intellectual Property Office]. (2025). Statistika-Patenti [Statistics-Patents]. Retrieved from https://www.zis.gov.rs/prava-is/ patenti/statistika.7.html
• Zeng, K., & Eastin, J. (2012). Do Developing Countries Invest Up? The environmental effects of foreign direct investment from less-developed countries. World Development, 40(11), 2221-2233.
• Zildović, E., Borković, S., Tabak, P., & Nedeljković, M. 2016. Analiza produktivnosti domaćih i stranih f irmi u Srbiji: Determinante i efekti prelivanja [Analysis of the productivity of domestic and foreign f irms in Serbia: Determinants and spillover effects]. In R. Kovačević & M. Gligorić (Eds.), Strane direktne investicije i privredni rast u Srbiji [Foreign direct investment and economic growth in Serbia] (pp. 85 103). Beograd, Serbia: Ekonomski fakultet.