Does Cancellation of Preferential Tax Policy Reduce Foreign Direct Investment Inflows?

2018 ◽  
Vol 26 (6) ◽  
pp. 97-115
Author(s):  
Zhi Luo ◽  
Chen Wang ◽  
Xun Zhang
Keyword(s):  
Foreign Direct Investment ◽  
Tax Policy ◽  
Direct Investment ◽  
Foreign Direct Investment Inflows

scholarly journals Determinants of Foreign Direct Investment Inflows in Kenya

2017 ◽  
Vol 11 (4) ◽  
pp. 1
Author(s):  
G. M. Ogono ◽  
N. Obange ◽  
S. A. Odhiambo
Keyword(s):  
Foreign Direct Investment ◽  
Direct Investment ◽  
Foreign Direct Investment Inflows

scholarly journals Indonesian And Australian Tax Policy Implementation In Food And Agriculture Industry

2014 ◽  
Vol 3 (1) ◽  
pp. 75-84
Author(s):  
Martin Surya Mulyadi ◽  
Maya Safira Dewi ◽  
Yunita Anwar ◽  
Hanggoro Pamungkas
Keyword(s):  
Foreign Direct Investment ◽  
Significant Influence ◽  
Tax Policy ◽  
Income Tax ◽  
Direct Investment ◽  
Corporate Performance ◽  
Tax Incentives ◽  
Indonesian Government ◽  
Food And Agriculture ◽  
Agriculture Industry

Tax policy is one of the most important policy in consideration of investment development in certain industry. Research by Newlon (1987), Swenson (1994) and Hines (1996) concluded that tax rate is one of the most important thing considered by investors in a foreign direct investment. One of tax policy could be used to attract foreign direct investment is income tax incentives. The attractiveness of income tax incentives to a foreign direct investment is as much as the attractiveness to a domestic investment (Anwar and Mulyadi, 2012). In this paper, we have conducted a study of income tax incentives in food and agriculture industry; where we conduct a thorough study of income tax incentives and corporate performance in Indonesian and Australian food and agriculture industry. Our research show that there is a significant influence of income tax incentives to corporate performance. Based on our study, we conclude that the significant influence of income tax incentives to Indonesian corporate performance somewhat in a higher degree than the Australian peers. We have also concluded that Indonesian government provide a relatively more interesting income tax incentives compare to Australian government. However, an average method of net income –a method applied in Australia– could be considered by Indonesian government to avoid a market price fluctuation in this industry.

scholarly journals Determinants of foreign direct investment inflows: A case of the Visegrad countries

2018 ◽  
Vol 11 (2) ◽  
pp. 222-235 ◽  
Author(s):  
Aneta Bobenič Hintošová ◽  
Michaela Bruothová ◽  
Zuzana Kubíková ◽  
Rastislav Ručinský
Keyword(s):  
Foreign Direct Investment ◽  
Direct Investment ◽  
Visegrád Countries ◽  
Foreign Direct Investment Inflows

scholarly journals THE CONTRIBUTION OF FDI AND FINANCIAL DEVELOPMENT ON ECONOMIC GROWTH IN SRI LANKA

2021 ◽  
Vol 8 (1) ◽  
pp. 25-34
Author(s):  
Sarojini Maheswaranathan ◽  
K.M.N. Jeewanthi
Keyword(s):  
Economic Growth ◽  
Foreign Direct Investment ◽  
Sri Lanka ◽  
Private Sector ◽  
Financial Development ◽  
Direct Investment ◽  
Capital Investment ◽  
Bank Credit ◽  
Percent Increase ◽  
Foreign Direct Investment Inflows

The present study investigates the relationship between financial development, Foreign direct investment and economic growth in Sri Lanka for the period 1980 to 2019 by applying the Augmented Dickey-Fuller Unit root test along with the ARDL approach in process of achieving the desired objective. The outcome of this study shows that except GDP and FDI all other variables such as Capital investment as a percent of GDP (CI), Bank credit to the private sector as a percent of GDP (BCP), net foreign direct investment inflows in % of GDP (FDI) are stationary at first difference. The findings reveal that net foreign direct investment inflows are a positive relationship with economic growth in the long run. It means a one percent increase in net foreign direct investment inflows increases the GDP by   0.826439 percent. At the same time, a one percent increase in bank credit to the private sector decreases the GDP by 0.864320 percent. Moreover, in the short run FDI, CI and BCP have a positive and significant impact on GDP.  Diagnostic tests such as normality test, heteroskedasticity and serial autocorrelation are employed to validate parameter estimation outcomes. Further, the stability of the variables confirms by the CUSUM test.  The country should propose Strategies to boost the growth of efficient domestic financial institutions and encourage policy to attract greater FDI inflows that meet the needs of the knowledge-based economy.

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