Institutional Factors of Improving the State Regulation of the Investment Process

The article analyzes the importance of institutional factors of the state regulation of investment processes in transition economies. Considering the approaches to the management of investment processes in transition economies as ineffective and outdated, the main disadvantages of state regulation have been identified, which were divided into the following functions – planning, organization, motivation and control, and directions – legal, institutional and economic. Its improvement as a strategically important task for the transition economy requires relevant measures. Some tax and non-tax factors that can contribute (impede) to investment processes in transition economies have been studied, and relevant statistical evidences have been provided; it has been established that a dynamic and stable economic and political system, along with a clearly functioning and transparent legal and tax system, are crucial for investors' decision making. The effectiveness of the use of tools for regulating investment processes in 30 CEE countries and post-Soviet countries based on World Bank methodology (Doing Business) have been analyzed, and Ukraine's extremely negative and unfavorable position in the above rating has been determined. Investment promotion agencies (IPAs) have been determined as an important institution to promote investments, which help attract foreign investment and create a favorable investment image of the country. A SWOT table on IPAs activities based on the analysis of various aspects of the IPA helped to make recommendations on the creation and optimization of IPAs' work in Ukraine. The effectiveness analysis of the securities market in Ukraine allowed determining its uneven development in quantitative and qualitative dimensions, including the volume and structure of sales; developing the corporate bond market in Ukraine is significantly inferior compared to neighboring countries. Development and improvement of market currency bonds in transition economies to the standards of developed countries is possible according to the given recommendations.