Local Investment Research Articles

The role of agriculture for achieving renewable energy-centered sustainable development objectives in rural Africa

Multi-dimensional and overlapping barriers to wellbeing severely affect many areas in rural sub-Saharan Africa. In the region, more than 90% of cropland is rainfed, less than one third of households have electricity, almost 60% of the population reports food insecurity, and more than 35% of the population lives below the international poverty line. Climate change impacts on vulnerable systems with limited adaptive capacity and strong population growth are increasing the magnitude of these challenges, slowing and potentially reversing development. Thus, there is a strong need for multi-sector interventions across multiple levels, from national policies, to regional and river catchment-scale planning, to local planning and investment. To implement such actions, it is key not only to assess technological solutions and their investment needs, but also to appraise their feasibility and implementation potential (from both a policy and a financial point of view). Here, we implement a modelling platform (RE4AFAGRI platform), which soft-links bottom-up process-based water and energy demand and techno-economic infrastructure assessment models (WaterCROP, M-LED, OnSSET) into a multi-node, national Nexus-extended Integrated Assessment Model (MESSAGEix-Nexus) for supply and investment assessment. The results of our analysis shed light on the role of water and energy demand in the agricultural sector for jointly affecting infrastructure and investment requirements for achieving rural sustainable development objectives. We find that scenarios with increased ambition in expanding irrigation and agricultural productivity result in improved diffusion and economic feasibility of infrastructure to provide universal energy access while supporting productive uses of energy. Moreover, we conduct business model analysis to appraise the framework conditions and micro and macro determinants that can ensure feasibility of investment and uptake of small-scale infrastructure, crucial for rural development. Altogether, our research demonstrates how integrated modelling with an explicit focus on Nexus interlinkages can represent the enabling role and the business conditions for renewable energy input in agriculture to become a leverage of rural sustainable development. In turn, important policy and investment-relevant insights can be derived.

Enhancing investment attractiveness in wartime: a comprehensive analytical approach

The study focuses on analyzing the changes in investment attractiveness during wartime, when certain regions are occupied or destroyed, some enterprises are non-operational due to damaged production facilities, there is a significant outflow of labor force, and energy issues arise. The core issue of the study lies in the necessity of considering the complex political and economic situation’s impact on Ukraine’s investment climate. This requires developing more adaptive assessment methods that can account for both economic and socio-political risk factors. In such circumstances, reliable data is hard to obtain, which prompted the goal of substantiating the factors that characterize the country’s investment attractiveness. To provide a comprehensive assessment of investment attractiveness, an integrated indicator is proposed, which combines data reflecting investment attractiveness, including indices calculated by leading global organizations. The analysis includes such indices as the Innovation Development Index, the Corruption Perception Index, and the Judicial System Index. As a result, an average value of the changes was calculated, showing a comprehensive shift in the indicators related to investment attractiveness. The analysis using the integrated indicator demonstrated that investment attractiveness has decreased by 10 % during the war, but certain indicators, such as the Corruption Facilitation Index and the Judicial Index, have actually improved during the war. The results obtained can be used to develop risk management strategies for both international and local investors. They can also serve as a basis for creating recommendations for improving the investment climate, which in turn can attract capital and stimulate economic growth under challenging conditions

Home Mortgage Lending and Neighborhood Mental Health: A Spatial Econometric Analysis of 18 U.S. Metropolitan Statistical Areas.

This study investigates the relationship between home mortgages and neighborhood mental health across the 18 largest metropolitan statistical areas (MSAs) in the United States. Home mortgages, a primary avenue to homeownership, contribute to housing security and stability. Moreover, their issuance reflects local investment and potential improvements in the built environment, hypothesized to positively influence community mental well-being. Using census tract-level data from multiple sources, we employed a spatial econometric approach, specifically spatial error modeling, to account for spatial dependency and estimate the association between home mortgage lending (2011 to 2020) and the prevalence of self-reported poor mental health in 2020. Our findings indicate a statistically significant negative association between mortgage issuance and self-reported poor mental health across all 18 MSAs, suggesting that increased mortgage lending is associated with improved neighborhood mental health. Comparisons between standard linear models and spatial error models highlight the influence of unmeasured, spatially correlated factors on neighborhood mental health outcomes. This study underscores mortgage lending as a crucial factor in community well-being and emphasizes the necessity of addressing spatial dependency in neighborhood health studies for accurate estimations. The findings offer valuable insights for researchers and policymakers aiming to enhance community mental health and address health disparities through informed housing policies.

The 2024 Public Health Emergency of International Concern: A Global Failure to Control Mpox.

On August 14, 2024, following a regional declaration by the Africa Centres for Disease Control and Prevention, the World Health Organization declared mpox a Public Health Emergency of International Concern, marking the second such declaration in two years. A series of outbreaks involving the more virulent clade I virus (compared to clade II, which caused a global outbreak in 2022), has now spread in 13 African countries, exposing the inadequacies of the public health infrastructure in these settings. There was significant investment during the 2022 global outbreak, but these efforts failed to address vaccine access and treatment in the Global South. Regulatory delays, unequal access to vaccines, and a lack of compassionate use treatments for severe cases have resulted in preventable cases and deaths, especially among vulnerable populations such as pregnant women, children, and the immunocompromised. The current outbreak also underscores critical knowledge gaps in our understanding of mpox, including its transmission, pathogenesis, and viral evolution. We join intensified calls for global solidarity and action to control mpox, emphasizing immediate containment measures and long-term local and international investment in African public health systems, to prevent future epidemics.

Urbanization as a catalyst for structural transformation in developing countries: The mediating impact of foreign direct investment

This article analyzes the link between urbanization and the process of structural transformation (ST) in developing countries, taking into account the mediating role that FDI can play. We use secondary data from 2000 to 2023 to determine if FDI positively or negatively influences the ST process in these countries, thereby, altering urbanization patterns. By estimating the Generalized Method of Moments (GMM), the study explores the relationship between urbanization, the ST process, and the mediating role played by FDI. In addition, it takes into account control variables such as gross fixed capital formation (GFCF), gross domestic product per capita (GDPPC), and diversification of production structure (DPS) to analyze their effect on urbanization and, more specifically, on the ST process. The econometric results showed a negative correlation between FDI flows and urbanization, demonstrating that FDI could hinder the success of the ST process in developing countries. On the contrary, econometric results showed that the control variables, GFCF, GDPPC, and DPS, positively influence urbanization in developing countries, indicating that these variables are more conducive to a successful ST process than FDI. Based on the econometric results, policymakers in developing countries are called upon to strengthen urbanization in these countries, by encouraging local investment and the diversification and sophistication of production and export structures, rather than relying solely on FDI. Over the period studied, FDI has not contributed as expected to advancing the urbanization process, a crucial element in the ST process in developing countries.

Talent Retention and Competitive Advantage of Star Rated Hotels in Rift Valley and Western Region, Kenya

The demand for both local and international visitors has seen local investors in the hospitality industry in Kenya jostle for market share. The arrival of the international hotel brands such as Best Western, Pullman and Park-In among others has increased competition as hotels scramble to provide quality products and services to their customers. Consequently, this sought to explore the influence of talent retention on competitive advantage of star rated hotels in Rift Valley and Western region, Kenya. The study was anchored on human capital theory. The study used simple random sampling to select a sample size of 62 respondents. The study adopted a correlational research design and data was collected using a questionnaire and analyzed quantitatively using both descriptive and inferential statistics. Prior to the actual data collection exercise, the study conducted pilot testing which involved both validity and reliability testing. The findings were presented in tables. The findings revealed that talent retention had a positive and significant influence on competitive advantage of star rated hotels in Rift Valley and Western Region, Kenya (P=0.000). The study concluded that hotel's talent retention strategies are generally effective especially enhancing a minimal employee turnover, a positive corporate image, and the use of succession planning and growth opportunities to retain talent. In view of the findings, the study recommends for the strengthening of the internal talent pool by investing in employee development programs. Encourage internal mobility and provide clear career progression paths to retain and motivate top talent. Keywords: Talent Retention, Competitive Advantage, Star-Rated Hotels, Rift Valley, Western Kenya

Talent Retention and Competitive Advantage of Star Rated Hotels in Rift Valley and Western Region, Kenya

The demand for both local and international visitors has seen local investors in the hospitality industry in Kenya jostle for market share. The arrival of the international hotel brands such as Best Western, Pullman and Park-In among others has increased competition as hotels scramble to provide quality products and services to their customers. Consequently, this sought to explore the influence of talent retention on competitive advantage of star rated hotels in Rift Valley and Western region, Kenya. The study was anchored on human capital theory. The study used simple random sampling to select a sample size of 62 respondents. The study adopted a correlational research design and data was collected using a questionnaire and analyzed quantitatively using both descriptive and inferential statistics. Prior to the actual data collection exercise, the study conducted pilot testing which involved both validity and reliability testing. The findings were presented in tables. The findings revealed that talent retention had a positive and significant influence on competitive advantage of star rated hotels in Rift Valley and Western Region, Kenya (P=0.000). The study concluded that hotel's talent retention strategies are generally effective especially enhancing a minimal employee turnover, a positive corporate image, and the use of succession planning and growth opportunities to retain talent. In view of the findings, the study recommends for the strengthening of the internal talent pool by investing in employee development programs. Encourage internal mobility and provide clear career progression paths to retain and motivate top talent. Keywords: Talent Retention, Competitive Advantage, Star-Rated Hotels, Rift Valley, Western Kenya

An Exploration of Entrepreneurs’ Socio-economic Situation and Its Impact on Micro and Small Businesses in South Andaman

This study aims to investigate the socio-economic conditions of entrepreneurs that influence the growth of micro and small enterprises (MSEs) in the South Andaman District. In this study, a scheduled questionnaire-based survey research design was used, and a sample of 344 small business owners was collected for analysis. The data were processed using SPSS, and chi-squared test was applied for statistical analysis. The study’s findings revealed that factors such as entrepreneurs’ business experience, income levels, the number of working employees and ownership of house property significantly impact the growth of enterprises in the island region. However, factors like business location and sector of enterprises were found to be statistically insignificant in determining MSEs’ growth in the island region. The study suggests that policymakers and local administrations should enhance support for micro, small and medium-sized enterprises in island regions by implementing policies such as island capital investment subsidies and island transport subsidies for MSEs. As a result, small businesses play a pivotal role by contributing to local employment, production and investment opportunities in the island region.

Place-based sustainable urban mobility: a conceptual framework to spark local designs

ABSTRACT Sustainable urban mobility transitions take into account the transportation needs of users and utilities, locality, regional development, and social inclusiveness. This research investigates this complexity and details the planning pillars of ‘avoid, shift, improve’ in a conceptual framework with place-based considerations and prioritisations. Three UK cities provide empirical examples – Durham, Nottingham and London – to illustrate local priorities, governance and investment requirements, under the three inseparable planning pillars. Lessons from these case studies demonstrate the need for strong and aligned collaboration between public and private stakeholders, promoting urban mobility alternatives, infrastructure improvements and covering investment costs.

The Risks of Electronic Piracy and its Impact on Arabic E-Commerce: Saudi Arabia as a Model

The objective of this research is to examine the legal consequences arising from attacks on electronic commerce and the associated risks. Currently, online trade is considered a fundamental pillar for major corporations, yet instances of electronic fraud and cyber piracy frequently occur during commercial transactions, particularly since e-commerce transcends geographical boundaries, making it vulnerable to cross-border cybercrimes. The researcher employed the descriptive-analytical method with a focus on legislation in the Kingdom of Saudi Arabia. The findings revealed that cyber piracy results in substantial losses for e-commerce at both the Arab and global levels, as evidenced by the cybersecurity index. The study concluded with the recommendation that Saudi Arabia should establish a specialized policy to combat cybercrimes associated with e-commerce by enforcing criminal sanctions, bolstering support for local institutions and investment bodies operating within its borders, and implementing measures and technologies to ensure the security of electronic commercial activities.

Exploring the factors of enabling environments for business investment projects in rural communities: stakeholders’ perspectives

In recent years, the local economic development (LED) planning paradigm has gained widespread acceptance worldwide as a locality-based response to the challenges posed by globalization, devolution, and local-level opportunities and challenges. Noticeably, governments in the Global South are seen to be supporting linkage policies that directly couple profitable growth and investment with redistribution and community development in rural-based localities. To attract potential investors to circulate more resources within the local rural communities, local governments must ensure that the local investment climate (LIC) is functional for business investment. Unlike in urban areas, rural localities, by their nature of periphery location from economic development nodes, prospective business investment projects (BIPs) are often faced with delays and uncertainty. This is mainly because the factors underlying the enabling environments for business investment in rural localities are poorly understood and based on speculation. Against this backdrop, this study therefore set out to explore and unveil the key factors that are fundamental for ensuring a conducive and functional local investment climate (LIC) in rural communities. Through a qualitative case study approach with the application of a conventional content analysis method, performed with coding methods, the study unveiled five key factors presented in a thematic approach. Namely, market and customer needs; government and regulatory support; access to infrastructure and services; land availability and zoning; and participatory community engagement. Understanding these fundamental factors that underpin conducive and operational investment environments is important for viable business decision-making in the feasibility study of investment projects toward LED in rural communities.

The Impact of Local and Foreign Investments on the Domestic Development on an International Scale on Social Equality and Environmental Support (Green Governance) of the Indonesian People

This study examines the impact of foreign and local investors’ interference in the national development as a form of President Joko Widodo’s government program on social equality and environmental support for Indonesia’s lower-level communities. Joko Widodo as the Indonesian President since the beginning of his term initiated infrastructure development throughout Indonesia, inviting foreign and local investors. These investors can rapidly raise the value of the Indonesian economy. The high value of the Indonesian economy also hurts various communities, especially on the social level of Indonesian society. Social equality in Indonesia has not achieved a balanced value among its people, which leads to social inequality in all aspects of social welfare of the Indonesian people.. Environmental support for people who experience social inequality is not achieved, this can be viewed in terms of shelter, food, clean water intake, and several other aspects that do not support the lives of people with social inequality. This research aims to realize how influential investors and the development of the Indonesian nation are on their communities, especially among the lower level who are not reached by the Indonesian government as a form of support for environmental welfare. The study recommends investors make breakthroughs that provide benefits for people with low social levels so that they do not experience further deterioration in life, the government must also play an effective role in realizing decent environmental support (green environment) to achieve social equality. Keywords: green environment, social equality, interference of foreign investors, interference of local investors

Independence of Sports Clubs in the United Arab Emirates (Football Companies As An Example)

Investment in the field of sports is considered one of the most important investments, as it plays a major role in the economic development of countries and achieving successive successes attracts multiple foreign capital. Sports investment also plays an important role in the economies of countries due to its importance in attracting local and foreign investments, and its role in hosting major sporting events in countries. The idea of establishing sports companies began with the process of implementing professionalism in the nineties of the last century. Therefore, this study addresses the independence of sports clubs in the United Arab Emirates, by explaining the importance of sport, its role in investment, and its importance in the national economy, and reviewing the experience of the United Arab Emirates in with a case study of Al Ain Football Club in the United Arab Emirates before and after its conversion. To a football sports company, by explaining the concept of sports clubs and explaining the most important concepts related to the subject of the study, as well as clarifying the privatization of football sports clubs and the advantages of this privatization, as well as its negatives, and the most important risks facing the privatization of sports clubs. The study aimed to identify the obstacles to the independence of sports clubs, The researcher used the research sample by using a questionnaire form as a means of collecting data and analyzing the results to reach the most important results of the study, while including the study with many recommendations at the conclusion of the study.

ANALISIS PENGARUH BELANJA MODAL, PENYERTAAN MODAL, DAN PERTUMBUHAN PENDUDUK TERHADAP PERTUMBUHAN EKONOMI

Economic development can be observed through the economic growth of a region. Capital expenditure, local government capital investment, and population growth can have different impacts on economic growth. This study aims to determine the influence of capital expenditure, local government capital investment, and population growth on economic growth. Secondary data on variables were obtained from BPS and DJPK from regencies/cities in the provinces of Banten, DI Yogyakarta, and Central Java for the period 2012-2021, using the multiple linear regression analysis method. The findings of the study align with Keynesian Theory, indicating that capital expenditure has a significant positive effect on economic growth. In contrast, local government capital investment shows a significant negative direction toward economic growth, which is inconsistent with Harrod-Domar Theory. Meanwhile, population growth has a significant positive effect on economic growth.

Evaluating SIKS-NG's Performance in Jabon District Social Welfare

Background: The integration of information systems into social welfare initiatives is increasingly important in rural areas. Specific Background: This study examines the effectiveness of the Next-Generation Social Welfare Information System (SIKS-NG) in a specific village, highlighting the role of human resources and supporting infrastructure. Knowledge Gap: Previous research emphasizes the need for trained personnel but lacks comprehensive analysis of resource adequacy. Aims: The research assesses the effectiveness of SIKS-NG in updating social assistance data, focusing on operators and available resources. Results: Findings reveal that effective implementation relies on competent operators and sufficient technological resources, such as computers and smartphones. Novelty: This study offers a comparative analysis with prior research, highlighting improved resource provision. Implications: The results emphasize the need for local governments to invest in human capital and technology to enhance social welfare outcomes and address poverty effectively. Highlights : Effective implementation of SIKS-NG relies on trained operators. Adequate technological resources, including computers and smartphones, are essential. Local government investment in human capital enhances social welfare outcomes. Keywords: Social Welfare, Information System, SIKS-NG, Rural Development, Human Resources

Does prior success influence risk‐taking in foreign location decisions? A prospect theory perspective

AbstractResearch SummaryResearch suggests that foreign direct investment decisions can be biased and deviate from economic theory. This study deploys prospect theory to analyze the impact of the success of previous investments on risk‐taking in subsequent investment decisions. Our theorizing suggests that prior success influences foreign investors' decisions to take host‐country risk, and that this moderating influence on the risk‐investment relation is specific to the type of risk. The results of an event‐history study of 1259 location decisions support the notion that the success of previous investments encourages investors to enter host countries with high negative or positive risk, whereas it discourages them from entering locations with high mixed risk. The effects are stronger for investment locations that are similar than for those that are dissimilar.Managerial SummaryRegarding the varying risks that investors face in foreign countries, investment decisions may sometimes appear rather confident and sometimes rather cautious. Our study relates these decisions to the success that investors had with similar investments in the past, since research suggests that experiencing gains or losses can influence decision behavior. The results suggest that prior success affects risk‐taking in foreign direct investment decisions and comes in contrary forms, depending on the type of risk: prior success leads to overconfident investment decisions in the case of negative and positive risk, whereas it induces overcautious investment decisions in the case of mixed risk. Being aware of these behavioral tendencies can prevent managers from making biased investment decisions.

Challenges and Opportunities: Investment Potential for Indonesia's Local Investors as an Impact of the Development of the National Capital City (IKN) of the Archipelago

Challenges and Opportunities: Investment Potential for Indonesia's Local Investors as an Impact of the Development of the National Capital City (IKN) of the Archipelago

Regional Logistics Capability and Foreign Direct Investment Location Choice of Multinational Corporations

Regional Logistics Capability and Foreign Direct Investment Location Choice of Multinational Corporations

The impact of the Russian-Ukrainian War on the food security of the Kingdom of Saudi Arabia

The economic and social impact of the Russian-Ukrainian war was the focus of this study, which aimed to assess its effect on the food security of the Kingdom of Saudi Arabia. To achieve its objectives, the study utilized published data, food security index measures, and standard economic analysis. The findings revealed that the Kingdom's food security environment index increased from 58.1% in 2012 to 69.9% in 2022, indicating moderate food security throughout this period. The index was lower than the estimated counterpart for the rest of the Gulf Cooperation Council countries but exceeded the global average (113 countries) by 12.38% in 2022. Furthermore, the study demonstrated that a 10% increase in the estimated food production index and real per capita income led to a 2.72% and 6.55% increase in the food security index, respectively. Conversely, a 10% rise in the estimated consumer price index for foodstuffs resulted in a 1.74% decrease in the food security index. Despite the challenges posed by the Russian-Ukrainian war, the food security index is projected to improve for the Kingdom of Saudi Arabia, expected to increase from 72.4% in 2024 to 75.6% in 2030, attributed to the country's policy of investing in agriculture abroad and focusing on local agricultural investments such as vertical expansion, protected agriculture, and agricultural practices. This strategic approach ensures high-quality produce and facilitates significant financial surpluses, enhancing the country's capacity to import goods from overseas.

Multi‐level party favoritism: The case of a discretionary grant program in Poland

AbstractParty favoritism in the distribution of grants is a well‐known mechanism fueling pork‐barrel politics and clientelism. In this paper, we analyze partisan bias in the distribution of the Polish Government Fund for Local Investments (RFIL) and demonstrate implications of party favoritism for the re‐centralization strategy adopted by the right‐wing populist government. We find robust evidence for a substantial bias that favors municipal authorities aligned with the national government. The proportion of the municipalities receiving any funding in two analyzed waves of the RFIL program increased by more than 45 percentage points and the amount of funding granted by more than 175 PLN per capita as a result of electing a mayor affiliated with the ruling party. We demonstrate that the partisan bias also affects municipalities ruled by local independents. It proliferates party polarization from the national level to the local politics and, in the longer run, may lead to its greater nationalization.