scholarly journals The Comprehensive and Progressive Agreement for Trans-Pacific Partnership and Foreign Direct Investment Attraction in Vietnam

2020 ◽  
Author(s):  
V.C. Nguyen

On November 12th 2018, the Vietnamese National Assembly ratified joining the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), which has 11 members. Regarding investment attraction, commitments in CPTPP are expected to have positive effects in improving investment environment, attracting foreign investment and expanding domestic investment. The article analyzes some results of FDI attaction in Viet Nam during the past time as well as the spillover effects of FDI capital, raises several measures to increase FDI efficiency in the context of CPTPP implementation.

Author(s):  
Kheang Un

With a strong economy and newly acquired confidence following three decades of rapid economic expansion, China has pursued an outward looking policy based upon foreign direct investment, development assistance and trade targeting particularly the developing world. Such expansion has drawn concerns over its impact on human rights, democratization and the environment. This paper assesses these concerns by examining Sino-Cambodia relations over the past sixteen years. It concludes that while trade, development assistance, and investment have had positive effects on Cambodia’s economic development, concerns that these engagements have derailed deeper democratization in Cambodia are not deterministic. Cambodia’s authoritarian trajectory is less a product of China’s engagement and more of the Cambodian elites’ defiance of Western efforts at democratic promotion and belief in state developmentalism—economic prosperity with tight political control.


2020 ◽  
Vol 12 (4) ◽  
pp. 1353 ◽  
Author(s):  
Fei Peng ◽  
Lili Kang ◽  
Taoxiong Liu ◽  
Jia Cheng ◽  
Luxiao Ren

This paper investigates the relationship between China’s trade agreements (TAs) and partner countries’ upgrade in global value chains (GVCs). We focus on the experience of China and relate China’s TAs with one belt and one road (OBOR) initiative. A structural equation model (SEM) is applied on a dataset including 216 countries and regions to identify the direct and indirect effects of China’s TAs and OBOR initiative on its export, outwards foreign direct investment (OFDI) and partner economy’ GVCs upgrade over the period 2010–2015. We find that China’s TA partner countries are more likely to be included in the OBOR initiative than those non-TA partner countries. The positive effects of China’s TAs and OBOR initiative on China’s export, outwards foreign direct investment (OFDI) and partner countries’ upgrade in GVCs differ across country groups at the different locations of GVCs. Both vertical and horizontal spillover effects exist in China’s TAs. Therefore, the partner countries at low end and middle of GVCs might benefit more from TAs with China than those richer countries at the high end of GVCs.


1997 ◽  
Vol 36 (4I) ◽  
pp. 403-418
Author(s):  
Stephen Guisinger

Pakistan for many years maintained strict controls on foreign direct investment. However, over the past decade controls on foreign investment in manufacturing have diminished sharply, though less so for the service sector. The government continues to impose restrictions on foreign trade, which adversely affect foreign direct investors in several ways. Nonetheless, Pakistan has moved a substantial distance toward liberalising direct foreign investment. There are two obvious policy issues related to foreign investment raised by these developments. First, should Pakistan proceed further toward liberalisation and at what pace? Second, with a liberalised investment sector, should Pakistan become an active protagonist among developing countries for a multilateral agreement on investment?


2010 ◽  
Vol 01 (01) ◽  
pp. 121-143 ◽  
Author(s):  
RUPA CHANDA

This paper examines the impact of a liberalised foreign direct investment (FDI) regime in Indian hospitals on FDI inflows. The paper shows that there is hardly any FDI in Indian hospitals due to domestic constraints such as high initial establishment costs, low health insurance penetration, manpower shortages, high cost of medical equipment, and regulatory deficiencies. These constraints also impede domestic investment in hospitals. The paper concludes that a liberal foreign investment regime may not result in increased FDI inflows if regulatory and structural impediments continue to constrain investment in the host economy. Investment liberalisation must thus be supplemented by domestic regulatory reforms to create an environment that is conducive to all investors.


2019 ◽  
Vol 9 ◽  
pp. 77-89
Author(s):  
Khom Raj Kharel ◽  
Suman Kharel

 The purpose of this paper is to analyze the foreign direct investment status and environment in Nepal. There is significant contribution of foreign investment in economic development of developing countries like Nepal. Foreign investment attraction in a country like Nepal increases the foreign capital and technology transfer. Since 1990s inflow of foreign direct investment (FDI) has been increasing in Nepal due to the adoption of liberal economic policy by the government of Nepal. The Foreign Investment Technology Transfer Act (FITTA) has made better foreign investment environment in Nepal. This paper examines and analyses the contribution of FDI in Nepal. For the analysis, simple linear regression model has been applied to measure the impact of FDI on GDP and employment. Because FDI inflow has been recorded after 1990s, the impact of FDI has been analyzed in this paper over the period of 1990/91-2018/19. This study finds a positive impact of FDI on GDP and other macro variables.


2016 ◽  
Vol 38 (2) ◽  
pp. 193-217
Author(s):  
Nurudeen Abu ◽  
Mohd Zaini Abd Karim

Despite the large body of research on foreign direct investment, domestic savings, domestic investment and economic growth, little has been done to investigate the relationships among them. This paper examines the relationships among foreign direct investment, domestic savings, domestic investment, and economic growth in 16 Sub-Saharan African (SSA) countries from 1981 to 2011, using various techniques. The results of VAR estimation and Granger causality tests demonstrate that there is a unidirectional causality from foreign investment to growth and domestic investment, savings to growth, and a bidirectional causality between growth and domestic investment as well as savings and domestic investment. The results of the variance decomposition analysis reveal that foreign investment exerts more influence on growth. Savings are more important in explaining domestic investment, growth is more important in explaining foreign investment, and domestic investment is more important in explaining savings. Based on the results of the impulse response analysis, there is a positive unidirectional causality from foreign investment to growth and domestic investment, savings to growth, and a positive bidirectional causality between savings and domestic investment, both in the short and long-run. Although there is feedback causality between domestic investment and growth, the impact from investment is negative in the short-run and positive in the long-run. Thus, policies that encourage foreign investment and savings are required to boost domestic investment and promote growth, and policies that raise domestic investment will lead to higher savings and growth in SSA.


1978 ◽  
Vol 72 (1) ◽  
pp. 17-36 ◽  
Author(s):  
Detlev F. Vagts

Expropriations in the later 1970’s often proceed more suavely than in the past. Straightforward seizure, to be sure, still has devotees. However, an increasingly favored approach is to induce the foreign investor to convey his property (or an interest therein) by an instrument that on its face represents an ordinary sale. That sale may be accompanied by a revision of the terms of some underlying contract between the investor and the government. The purpose of this article is to explore whether any body of rules now exists setting limits to the means that a government can use to obtain the investor’s consent. It then asks whether that law could be further developed so as to improve the quality of such negotiations and to cause them to produce more equitable results. Thereby it would indirectly improve the security and efficiency of the whole process of foreign direct investment.


Author(s):  
Olena Kolyada ◽  
Iryna Morozova ◽  
Mariia Nizelska

The article considers foreign direct investment as an economic phenomenon. It is noted that the investment climate of the country plays a special role in attracting foreign capital. The main factors of formation of investment attractiveness of Ukraine, which contribute to the expansion of its investment ties, are named. The East Invest - 2 project and the main recommendations for improving the efficiency of attracting foreign investment into the economy of Ukraine are considered. Particular attention is paid to identifying the threats that foreign investment can pose to the host country, such as: the relocation of hazardous environmental production, control over raw materials, capital flight and others. The main tendencies of foreign investment in Ukraine are considered. Also, the study found that increasing productivity is one of the positive effects of foreign investment, as it is associated with a high level of innovation in such investments. In Ukraine, labor productivity in enterprises with foreign investment is on average 3.5 times higher than in enterprises without them. This is, in particular, due to a larger amount of investment in fixed capital per employee, which in firms with foreign capital is more - 5 - 7 times. In modern economic conditions, the investment environment has a significant impact on attracting foreign investment, which in Ukraine remains not the most favorable. The main factors of the need to further increase foreign investment in the economy of Ukraine are indicated. The main problems that hinder the processes of attracting foreign investment to Ukraine have been identified. At the same time, the main aspects of Ukraine's attractiveness as an investment recipient have been identified. Outlining the main directions of formation of a favorable investment climate in Ukraine. The directions of further activity of Ukraine concerning formation of effective strategy of increase of investment attractiveness are named. The ways to stimulate investment are identified and the objects of investment that can bring more profit to the investor at the present stage are identified.


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