ABSTRACT
In many post-communist countries Foreign Direct Investment (FDI) is often perceived as a dynamic factor in the process of economic development FDI is not only a form of financial transfer but also transmits knowledge, know-how and raises business standards. In Poland, Silesia along with Mazowieckie and Wielkopolskie lead in attracting foreign investors. On a per capita basis total investment (domestic and foreign) in Silesia in 1999 amounted to US$430. As might be expected the greatest investment was in the region's cities and towns rather than in rural areas where investment outlays reached only US$218. It is clear that FDI is important to the region especially in the private sector where it accounts for more then one third of total business investment. FDI is attracted to Silesia because of its large market and local purchasing power, its human capital with its skills and experience, its industrial culture and favourable location on Central European transport corridors.
