Analysis Of Foreign Direct Investment Research Articles

Analysis of Foreign Direct Investment in India

Since independent, India has adopted cautious approach for economic growth but after the implementation of LPG policy (economic reforms in 1991) India has liberalized its foreign policy and took series of measures to pull FDI. This paper aimed to investigate empirically the impact of GDP, population, import of crude oil and corruption perception index on FDI over the last 20 years i.e. 1998-2018 The multiple regression tests were used in order to analyze the causal relationship among corruption perception index, import of crude oil, GDP and increasing rate of population. It was found that there is significant relationship between FDI, and GDP import of crude oil, corruption perception index and population.

Vector Error Correction Analysis of Foreign Direct Investment and its Effect on the Performance of Nigerian Economy (1990- 2018)

Vector Error Correction Analysis of Foreign Direct Investment and its Effect on the Performance of Nigerian Economy (1990- 2018)

REGIONAL DISTRIBUTION OF DIRECT FOREIGN INVESTMENTS IN POLAND

In this paper, an analysis of foreign direct investment in terms of regional differences was conducted. The analysis covered the period 2010-2016. The analysis shows that the distribution of investors in Poland is varied regionally. Regions particularly attractive for foreign investors were Mazowieckie, Śląskie i Wielkopolskie. In contrast, Lubelskie, Podlaskie i Warmińsko-Mazurskie are regions where foreign investors are the least.

Analysis of foreign direct investment as a comparison of macroeconomic factors in seven countries Asean 5, China and Japan during period 1996-2015

The purpose of this research is to analyse the Determination of Foreign Direct Investment (FDI) As a Comparison of Macroeconomic Factors in Asean 5, China and Japan. Besides, this research also analyses the influence of macroeconomic factors due to the strength of the influence of macroeconomic factors to the shock.This research uses the secondary data during the period of 1996-2015 by using the Panel Data model. The variabel which is used here is the macroeconomic factor (Broad Money, Economic Development, labor force, exchange rate, industry, transport service) that has an affect on Foreign Direct Investment in Asean 5, China and Japan.The gap of this research is to connect the macroeconomic factor (Broad Money, Economic Development, labor force, exchange rate, industry, transport service) that has an affect on Foreign Direct Investment. The result of the research shows that the macroeconomic factors have positive effect in ASEAN 5 countries, China and Japan as Home Country, as well as Host Country. Meanwhile, the FDI has a negative impact from one of the macroeconomic factors that is ‘exchange rate’. The policy implication of this research is to suggest the monetary authority, government or private, to supervise the direct investment flow that enters the host countries.

Effect Analysis of Foreign Direct Investment in the Software Industry: Evidence from Japanese Corporate Financial Data

The influence of foreign direct investment (FDI) on the output and productivity of software companies was analysed using corporate financial data of Japanese software companies. The analysis was done on the basis that FDI improves productivity through more effective development, and increases output through market expansion. To solve the endogeneity of self-selection, whereby enterprises with higher productivity and output are more likely to engage in FDI to increase their productivity and output, propensity score analysis was used. As a result, it was recognised that FDI significantly improved output growth rate, but did not necessarily improve productivity growth rate. This result likely derives from the difficulties faced by Japanese software companies in developing and managing foreign country branches.

Econometric Analysis of Foreign Direct Investment in the Zimbabwean Mining Sector 2005-2014

The paper analyses the determinants and the effects of foreign direct investment inflows (FDI) in the Zimbabwe Mining Sector (ZMS) in a specific study for 14 minerals from 2005-14 estimating a random effect model. Mineral specific variables examined include capacity utilisation, volume of manufacturing index, labour cost, sectorial contribution to Gross Domestic Product (GDP), political instability, mineral price and mineral output. FDI inflow in the ZMS can be explained by capacity utilisation, volume of manufacturing index, labour, sectorial contribution to GDP and political instability. No statistical evidence could be established to support mineral price and output as major determinants of FDI in the mining sector. All these variables confirmed with literature except for volume of manufacturing index. As a result, the government is recommended to put in place supportive policies that encourage investments and recapitalization in the mining sector so that local firms can effectively compete at both domestic and international investment markets.

Spatial Analysis of Foreign Direct Investment in Chinese Cities

The determinants of foreign investment in Chinese cities are analyzed by year from 2011 to 2014 by using regression models. As a result of the empirical analysis, fixed assets investment indicating the agglomeration of the economy was found to have a statistically significant positive effect on foreign investment in all years under study and models. The average wage variable and per capita GRDP variables have statistically significant positive effect on foreign investment in general. It can be inferred that foreign investors do not consider the competitiveness of labor costs when investing in China, but rather consider the purchasing power of cities with high wage levels and per capita GRDP. This seems to be due to the fact that foreign investors in China have shifted from a manufacturing focus to the service industry and considered market factors in their decision of investment location. As for institutional factors, the designation of special economic zones or coastal open cities and national economic and technological development areas showed a statistically significant positive effect on foreign investment, while the other dummy variables such as Pearl River Delta, Yangtze River Delta and Bohai Rim Region did not have a statistically significant effect.

Preview of BPM6 Methodology and Analysis of Foreign Direct Investment in 2015 in Croatia

Abstract Foreign direct investments include equity capital, reinvested earnings and debt relations between ownership-related residents and non-residents. Since 31 October 2014, the Croatian National Bank has started to publish information in the field of statistics Relations (balance of payments, foreign debt and the IIP) in accordance with the methodology prescribed by the sixth edition of the Manual on Balance of Payments (Eng. Balance of Payments and International Investment Position Manual, BPM6), thus changing the presentational form of direct investment. Direct investments are not classified according to the so-called direction of investments (Eng. directional principle) on direct investment in Croatia and direct investment abroad anymore, but according to BPM6 apply the socalled principle of assets and liabilities (Eng. Assets / Liabilities principle). The aim is to point out the differences between the standards BPM5 and BPM6 and determine which activities and which countries are the most represented in the structure of direct investments in Croatia. By identifying relevant activities and countries in the structure of foreign direct investment, relevant information is obtained about the macroeconomic state of the Republic of Croatia and about the opportunities and potential dangers that certain activities and countries provide.

Effect analysis of foreign direct investment in the software industry: evidence from Japanese corporate financial data

Effect analysis of foreign direct investment in the software industry: evidence from Japanese corporate financial data

Analysis of Foreign Direct Investment, Agricultural Sector and Economic Growth in Tanzania

This paper analyzes the effect of foreign direct investment (FDI) on agricultural sector in Tanzania. The paper also examines the declining contribution of agriculture to real GDP growth despite the fact that the sector employs more than 70 percent of the total labour force. Annual time series data spanning from 1990 to 2015 are used to test the significance of the relationship between FDI inflow and agriculture value added-to-GDP ratio on one hand and FDI inflows and economic growth on the other hand. Also, the relationship between agriculture value added and economic growth rate is empirically examined. Variables such as gross fixed capital formation, inflation rate, trade liberalization, real exchange rate and population are considered as control variables. For the purpose of inference, the paper employs classical linear regression model. Ordinary least squares methods are used for estimation. The diagnostic tests including RESET regression errors specification test, Breusch-Godfrey serial correlation LM test, Jacque-Bera-normality test and white heteroskedasticity test reveal that the models have no signs of misspecification and that, the residuals are serially uncorrelated, normally distributed and homoskedastic. Interestingly, empirical results suggest that there is no significant effect of FDI inflows on agriculture value added-to-GDP ratio in Tanzania despite the fact that FDI inflows in economy have been outstanding particularly in past two decades. Unsurprisingly, the results show that FDI inflows-to-GDP ratio and real GDP growth rate are positively correlated. Notwithstanding, agriculture sector, which constitutes the largest proportion of the total labour force, contributes, on average, less than 30 percent, to total GDP. This suggests that the sector is inefficient and therefore, effort towards attracting more FDI aiming at improving productivity in agriculture sector, which in turn may reduce poverty, is much needed.

FDI Inflows into the Real Sector of the Russian Economy

This article develops a two-step methodology for the analysis of foreign direct investment (FDI) inflows into the real sector of the Russian economy, based on the Heckman selection model. The methodology is distinguished by two characterstics: (1) it allows for a multitiered factoring of FDI inflows (macro and micro); and (2) it can be used to forecast FDI inflows of a particular sector. According to the model, FDI will drop significantly in the real sector, which will significantly shift the FDI structure toward raw materials and the commodities market. However, it is forecast that in 2017 FDI will return to previous levels and shift back to its previous sectoral FDI structure.

An Empirical Analysis of Foreign Direct Investment of Korean Local Government: Focusing on the Level of Globalization

An Empirical Analysis of Foreign Direct Investment of Korean Local Government: Focusing on the Level of Globalization

State of Firm Internationalisation in the Małopolska Region

For many years, the analysis of the factors of the internationalisation of firms has been a research topic, both in the area of international business theory – in management studies, and in firm internationalisation theory – in economics. The paper presents the diagnosis of the state of the internationalisation of firms conducting their activities in Małopolska Voivodeship, carried out on the basis of available government and self-government statistics. The author makes an assessment and partial evaluation of the situation from the angle of the adopted determinants, such as: an analysis of foreign trade turnover, an analysis of foreign direct investment and an analysis of business process outsourcing. The paper presents the profile of the economic activeness of Małopolska Region against the investment attractiveness of voivodeships in Poland, an authorial typogram of the economic potential of Małopolska Region against the background of the country, as well as the investment attractiveness of this region for investors, alongside the factors shaping it, considering seven major determinants.

Financial analysis of foreign direct investment on economic growth of developing countries

The object of the research paper is to perform an empirical analysis of foreign direct investment (FDI) influence on economic growth with the aim of establishing factors that will contribute to overcoming the problem. The research results imply that realistic exchange rate, export and import as well as state expenditures are statistically signifcant for predicting economic growth movement and they have a positive influence on FDI movement. Empirical analysis, contrary to expectations, has shown that FDI, public debt and openness have a negative impact on economic growth in the case of Republic of Serbia. In the following period Serbia has to decrease the share of budget defcit in GDP and control public debt. Serbia has to pay special attention to improving investment environment and encourage export oriented production, whereas fnance management and continuation of reform processes are the basis for establishing sustainable development of country, with sustainable use of available resources.

Spatial Econometric Model Analysis of Foreign Direct Investment and Haze Pollution in China

Spatial Econometric Model Analysis of Foreign Direct Investment and Haze Pollution in China

Colombia y la India: Relaciones de Comercio, Inversión y Oportunidades de Intercambio

The study purpose is to characterize trade and investment relations between Colombia and India in the last ten years (2005-2015). Both trends and trade structure between these countries helped to reveal the exportable products which has the potential strengthen the bilateral relationship. In addition, the behavior of India's investment in Colombia is analysed, both in terms of trends and sectoral structure, as well as the number of jobs generated in this South American country and this is contrasted with the investment of other Asian countries. For the analysis of trade relations, three official statistical sources were used: Trade Statistics for International Business Development (Trademap), National Administrative Department of Statistics of Colombia (Dane) and the Commodity Trade Statistics (Comtrade) of the United Nations. fDI Markets was used for the analysis of foreign direct investment. The Bela Balassa Revealed Comparative Advantage Index was used in order to identify the revealed comparative advantages of each country. Revealed comparative advantage index and import intensity index identified 15 Colombian products with expansion opportunities in Indian market, a significant contrast with the indexes showing 155 Indian products with expansion opportunities in Colombia.

Quantitative and Qualitative Analysis of Foreign Direct Investments in Developed and Developing Countries

In recent years changes in direction of foreign direct investments (FDI) started to attract more attention of economists. In this paper FDI as a factor of economic growth is investigated. In the first part was analyzed the correlation between foreign direct investment inflows and dynamics of gross domestic product growth. Data for analysis was provided by World Bank database of economic statistics. Based on this data the correlation between absolute values of GDP and FDI was calculated for two groups of countries differentiated by the level of their development. The second part was based on analysis of the link between FDI inflows and World Bank's Ease of doing business indicators in the OECD and BRICS countries.

Factor Analysis of Foreign Direct Investments by Japanese Small and Medium

Factor Analysis of Foreign Direct Investments by Japanese Small and Medium

An Empirical Analysis of Foreign Direct Investment and Economic Growth in Bangladesh

Foreign Direct Investment (FDI) is assumed to benefit a poor country like Bangladesh, not only by supplementing domestic investment, but also in terms of employment creation, transfer of technology, increased domestic competition and other positive externalities. This paper focuses on the FDI-led growth hypothesis in the case of Bangladesh. The study is based on time series data from 1973 to 2013. The econometric framework of cointegration and error correction mechanism were used to capture two way linkages between variables interest. It is evident in the results that the regression analyses do not provide much support for the view of a robust link between FDI and growth in Bangladesh. It does not imply that FDI is insignificant. Rather, its analysis reduces the confidence in the belief that FDI has exerted an independent growth effect in Bangladesh. But net attitudes of the civil society on the impact of FDI on opportunities for domestic business and economic activities is positive and net attitudes of foreign firms toward FDI reveals that the investment climate has not improved in Bangladesh as a result of lack of good governance, corruption, political instability and disturbance, bureaucratic inertia, and poor low and order situation.

Problems of attraction of foreign direct investments in Uzbekistan

The paper studies problems of creating favorable investment climate in Uzbekistan and contains comparative analysis of Foreign Direct Investments (FDI) in selected post-soviet countries using documentary analysis method. Despite the recent enhancements in investment climate, FDI in Uzbekistan is still low compared to the other studied countries. The resolving of currency convertibility problems, modernization of infrastructure and further fostering structural reforms are shown as fundamental factors for investment climate improvement.