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Foreign Direct Investment Essay

749 Words3 Pages

PAKISTAN INSTITUTE OF DEVELOPMENT ECONOMICS ISLAMABAD
PIDE

RESEARCH PROPOSAL
The Impact of Foreign Direct Investment (FDI) on Economic Growth:
International Evidence

NAME: ZAHEER AHMED
ROLL NO: 1734

Research Title: The Impact of Foreign Direct Investment (FDI) on Economic Growth: International Evidence.
Background of the Research:
The role of investment, especially foreign direct investment (FDI) has driven economic growth and the challenge of development since the decade of the United Nations development of the 1960s.
It has always been views in favor of the foreign direct investment and against it. Some argue that foreign direct investment leads to greater economic growth and productivity of the economy as a whole, and …show more content…

The use of this technique has also become an important aspect of strengthening capital in developing countries worldwide. However, the share of investment in these countries in other states has declined in recent years. For developing countries, the positive impact of foreign direct investment is increasingly popular as a means of achieving economic growth and strength (Mohamed 2007). More strongest positive in the implementation of foreign direct investment in increasing the overall productivity, increase employment, increase exports and exchange of technological progress between the investor and the …show more content…

Another advantage of FDI is that it does not involve the risks and regulations of the foreign debt and human capital adds value through the provision of vocational training. That countries which are facing a shortage of capital and technological expertise is generally slower than those that which having these expertise. According to several studies, foreign direct investment can serve as a means of transferring technology and knowledge (Dunning and Hamdani, 1997).
Research Objective:
This research paper aims to analyze the Impact of Foreign Direct Investment (FDI) on economic growth in developing countries and analyze whether Foreign Direct Investment (FDI) has positive impact on economic growth or negative. This research examines trends in the relationship between foreign direct investment and development in a historical context.

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