Attracting Foreign Direct Investment and Benefiting from it: Challenges for the Least Developed Countries

2015 ◽  
Vol 7 (2) ◽  
pp. 125-127
Author(s):  
Karl P. Sauvant
Keyword(s):  
Foreign Direct Investment ◽  
Direct Investment ◽  
Developed Countries ◽  
Least Developed Countries

scholarly journals Foreign Direct Investment in the West African Region: Analyses on the Values of Inflow and Outflow

2020 ◽  
Vol 2 (1) ◽  
pp. p15
Author(s):  
Yeboah Evans ◽  
Yu Jing
Keyword(s):  
Foreign Direct Investment ◽  
Direct Investment ◽  
Developed Countries ◽  
West African ◽  
Least Developed Countries ◽  
Outward Fdi ◽  
African Region ◽  
The West ◽  
Investment Policies ◽  
West African Region

With regards to the ongoing development in investment activities in the Economic Community of West African States(ECOWAS) and the entire African continent is because of institutional reforms and initiation of sound investment policies. Foreign direct investment(FDI) inflow and outflow severs as a source of capital formation for most developing and least developed countries. This paper provides an overview and analyses of the flow of FDI to the ECOWAS region by considering 16 nations under this region in determining their performance towards FDI attraction and their contribution to outward FDI across the globe by the use of the quantitative method. The outcome shows that there is a continuous decline in FDI inflow to the ECOWAS region over the past 10 years. The result also proves that Ghana and Nigeria are the major recipients of foreign direct investment inflows in the West African region. The result further indicates that Nigeria is the major contributor of outward FDI from the ECOWAS region. It is recommended that the region should increase its outward FDI.

Export Product Diversification, Services Production and Exports in Least Developed Countries

2016 ◽  
Vol 07 (03) ◽  
pp. 1650013 ◽  
Author(s):  
Sèna Kimm Gnangnon ◽  
Shishir Priyadarshi
Keyword(s):  
Foreign Direct Investment ◽  
Direct Investment ◽  
Developed Countries ◽  
Product Diversification ◽  
Least Developed Countries ◽  
Regulatory Quality ◽  
Per Capita ◽  
The Relationship ◽  
Export Product ◽  
Export Product Diversification

This paper investigates the relationship between the diversification of export products in least developed countries (LDCs) and their services production and exports. It uses a dataset comprising 30 LDCs over the period 1995–2010. The empirical results suggest strong evidence that export product diversification in LDCs is a catalyzer for their commercial services exports, alongside factors such as per capita income, foreign direct investment (FDI), and regulatory quality policies. However, export products diversification does not appear to exert a significant effect on LDC services production. These findings have important implications for both the international trade community and LDC governments.

Foreign direct investment in the Lao People's Democratic Republic: Challenges and prospects

2021 ◽  
pp. 64
Author(s):  
Thaksin Phimpamot
Keyword(s):  
Economic Growth ◽  
Foreign Direct Investment ◽  
Direct Investment ◽  
Lao Pdr ◽  
Developed Countries ◽  
Legal Framework ◽  
Least Developed Countries ◽  
Skills Transfer ◽  
The Government ◽  
Investment Process

In the article the inflow of foreign direct investment (FDI) into the economy of the Lao is examined, in particular, the evolution of the policy, methods and rules of FDI attraction and regulation, as well as the dynamics and sectoral structure of FDI inflows. In result of Lao’s targeted proactive government policy, the FDI inflow since 2005 have risen substantially, owing primarily to domestic and foreign investments in hydropower and mining. Since the 3rd five-year National Plan for 1991-1995, the promotion of FDI has become a priority for the government. Since 2005, the annual rate of economic growth has exceeded 5%, and by 2020, the poverty of the people has dropped significantly. Through continuous, inclusive and sustainable economic growth the country managed to get out of “least developed countries” status by 2020. The Lao PDR government continues to improve the legal framework and law enforcement practice in the field of FDI. China, Thailand and Vietnam lead the investment process among the 10 most active foreign investors. Lao government clearly defined the desirable industries for foreign direct investment, which meet national interests - hydropower, mining, infrastructure facilities, industrial and agricultural enterprises, tourism.  In this article an overview of the most important FDI sectors in Laos is provided. Authors have come to conclusion that the scope, volume and focus of implemented  and ongoing FDI projects has benefited the Laos in terms of socioeconomic growth, foreign exchange earnings, job creation, as well as modern equipment, technology and skills transfer. The attention of the Lao government to practical details of foreign investment in important national projects contributes to successful use of external resources for national goals.

scholarly journals Effect of the Utilization of Unilateral Trade Preferences on Foreign Direct Investment flows to Beneficiary Countries

2021 ◽  
Author(s):  
Sèna Kimm GNANGNON
Keyword(s):  
Developing Countries ◽  
Foreign Direct Investment ◽  
Direct Investment ◽  
Developed Countries ◽  
Jel Classification ◽  
Least Developed Countries ◽  
Fdi Inflows ◽  
Trade Regimes ◽  
High Utilization ◽  
Trade Preferences

Abstract This article has explored the effect of non-reciprocal trade preferences (NRTPs) offered by the QUAD countries to developing countries on the foreign direct investment (FDI) flows to these developing countries. The analysis has used an unbalanced panel dataset of 108 beneficiary countries of NRTPs over the period 2002-2019. By means of the two-step system GMM, it has established that low utilization rates of GSP programs are associated with greater FDI flows to less advanced beneficiary countries, including, least developed countries (LDCs). However, high utilization rates of GSP programs induces greater FDI flows to advanced beneficiary countries, including NonLDCs. In addition, low (high) utilization rates of other trade preferences generate higher FDI flows to less advanced beneficiary countries (relatively advanced countries). The analysis has also shown that GSP programs and other trade preferences are strongly complementary in enhancing FDI inflows, especially for high utilization rates of other trade preferences programs. The utilization of each of these two blocks of NRTPs induces greater FDI flows to countries that endeavour to export increasingly complex products, or those with lower dependence on natural resources. Finally, the utilization of NRTPs generates higher FDI inflows to countries that substantially liberalize their trade regimes. JEL Classification: F13; F14; F20.

scholarly journals An overview of employment generation in the sectors of GHANA’S economy: Foreign direct investment perspective

2021 ◽  
Vol 11 (1) ◽  
pp. 48-57
Author(s):  
Evans Yeboah ◽  
Rose Gyamea Kyeremeh
Keyword(s):  
Economic Growth ◽  
Foreign Direct Investment ◽  
Direct Investment ◽  
Service Sector ◽  
Developed Countries ◽  
Business Environment ◽  
Great Effort ◽  
Least Developed Countries ◽  
The Government ◽  
Employment Sectors

As foreign direct investment (FDI) contributes to economic growth and development of the host country, it also serves as a basis of employment creation in an economy. Over the past years, FDI has helped accumulate capital for developmental projects in most developing and least developed countries. This study provides an overview of job creation through FDI inflow within the Ghanaian economy by considering the number of jobs allocated to the various sectors. The study makes use of a descriptive statistical method that quantitatively supports data analysis. The results show that as the total FDI registered projects decrease, the number of expected jobs to be created also declines. The outcome also revealed that the service sector enjoys a higher percentage of the FDI registered project and the total number of employments generated within the selected period. The result further indicates that about 84% of the aggregate jobs created were for Ghanaians. The outcome also showed that the tourism and export trade sectors’ performance towards job generation from FDI inflow is lower than other sectors of the economy. It is suggested that the government should continue to put in a great effort to make the country’s business environment much friendly for investors.   Keywords: FDI, employment, sectors, Ghana, economic growth, trade inflow.

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