The main goal of the final paper is to present the impact of corruption on foreign direct investment. The paper observes that the movement of the corruption perception index is associated with a decrease or increase in foreign direct investment inflows. To establish a link between corruption and foreign direct investment, a sample of the five most and five least corrupt countries in Europe was taken. A comparison of these indicators leads to the conclusion that there is a link between foreign direct investment and corruption. It is noted that the different geographical distribution of countries has an impact on the movement of foreign direct investment depending on the decrease or increase of the corruption index. In each observed country is noticed that at least in one observed year the increase in corruption leads to an increase in foreign direct investment inflows. It is also noted that with the stability of the corruption perception index in most of the observed countries, foreign direct investment is growing. In addition to showing the link between corruption and foreign direct investment, the paper provides basic information on foreign direct investment and corruption. Basic information is provided to understand the concepts themselves and their core operation. The paper lists projects and programs used by the European Union to increase foreign direct investment inflows and reduce the level of corruption in countries.