ANALYSIS OF PRIVATE INVESTMENT IN SHIPBUILDING: WORLD EXPERIENCE

Abstract

Introduction. Shipbuilding plays an important role in many related industries and the national economy as a whole. This industry affects the country competitiveness, the economic and political situation in the world. The state of the shipbuilding industry directly affects the development of shipping, its provision with high-tech and energy-saving vessels. Despite the significant attention of scientists and practitioners to the problems of financing and development of shipping, a number of aspects remain insufficiently or fragmentarily researched. Purpose. The article is devoted to identifying trends and problems of private investment in shipbuilding at the international level with an emphasis on European experience. Results. The current investment needs of the shipbuilding industry under the influence of financial and economic globalization challenges are characterized. Modern directions of private investment in shipbuilding are identified. Existing shipping financing instruments are analyzed and the most effective and promising ones are identified for use. Recommendations are formulated regarding the optimal strategy for attracting private capital to the shipbuilding industry. Conclusions. The steadily growing volume of world maritime trade must be matched by the growth of the world fleet and its capacity. Shipbuilding must not only compete for the speed and safety of cargo transportation, but also comply with a number of international conditions and standards for decarbonization. Decarbonization of the world shipping fleet requires significant investment resources. Sustainable financing instruments, including green, blue and blended finance, combining concessional and commercial financing, will play a central role in providing the necessary funds. The introduction of Basel II rules on capital requirements has significantly increased the requirements for shipping companies and the cost of financing long-term debt obligations. The proposed alternative approach is to stimulate non-bank sources of credit that are not subject to the aforementioned bank capital requirements. Thus, non-standardized products appear, which are offered on a case-by-case basis, depending on the specific needs and circumstances of each client. However, information on specialized shipping products offered by private banks is limited. The lack of transparency makes it difficult for shipping companies to fully understand their options and make informed decisions. Thus, the question arises of standardizing financial solutions for shipping based on private capital. Such standardized options could provide broader access to financing, reduce transaction costs, and simplify the process for many shipping companies.