In Investment return index – for Lithuania high position
Eastern Europe, including Lithuania, has become one of the most attractive regions for investment shows the magazine Foreign Policy published, for the first time calculated, the basic profitability index (Baseline Profitability Index, BPI). In this index Lithuania in the 16th place out of 102 countries in the world.
The publication “Foreign Policy “, presenting the BPI index, explains that it is designed for investors looking for, where it is the most profitable for some time to employ their money. BPI is based on a scenario in which the fund or business invests for five years, during which the profits are reinvested, and finally evaluating what are final earnings. So, the BPI assesses how local policies and investment environment affects the same investments in different countries.
Summing up the index, a number of factors are taken into account, such as return on capital, level of corruption, political stability, and the protection of investors in the country. “Foreign Policy” analysts emphasize that the choice of the most favorable investment location cannot be based on one or other of these factors, it is necessary to evaluate them all.