Download or read book Evaluating the Impact of the Predicted Fall of Foreign Direct Investment on Sub Sahara African Countries Economy written by Antoine Niyungeko and published by GRIN Verlag. This book was released on 2020-08-17 with total page 30 pages. Available in PDF, EPUB and Kindle. Book excerpt: Scientific Study from the year 2020 in the subject Business economics - Investment and Finance, , language: English, abstract: The paper investigates what may be the impact of the predicted fall of FDI on GDP in SSA. The United Nations Conference on Trade and Development (2019) indicated that FDI flows to Africa increased by 11 percent to $46 billion, despite declines in many of the larger recipient countries. The increasing of FDI flows was justified by continued resource-seeking inflows, some diversified investments, and a recovery in South Africa after several years of low-level inflows. However, the predictions of 2020 regarding FDI flows are dramatic. Compared to 2019, global flows of FDI are expected to decrease by up 40 percent from their value $1.5 trillion in 2020 as a result of the COVID-19 pandemic (United Nations Conference on Trade and Development, 2020). This organization predicted a fall of FDI to reach -45 to -30 in Europe, North America -35 to -20, -40 to -25 in Africa, -45 to -30 in Asia, Latin America and the Caribbean -55 to – 40, and in transition economies -45 to -30. The prediction for Africa of a 25-40 percent decline is based on GDP growth projections as well as a range of investment-specific factors. The same organization indicated a decline in GDP growth for Africa from 3.2 per cent to -2.8 percent. The primary goal of this study is to investigate the relationship between FDI and GDP through import (IMP), export (EXP), gross capital formation (GCF), and household consumption (HHC), and government expenses (GEXP). Specifically, the study tends to address the following sub-objectives: Analyzing the relationship between FDI-GDP-HHC-GEXP-GCF-EXP-IMP. Analyzing direct, and indirect impact of FDI on GDP for 40 SSA altogether. Investigating the impact of FDI on GDP in SSA countries whose FDI is under median on one hand, and SSA countries whose FDI is greater than median, on the other hand. Finally, comparing the impact of FDI on GDP in 12 SSA with highest and lowest FDI.
Download or read book Making Foreign Direct Investment Work for Sub Saharan Africa written by Thomas Farole and published by World Bank Publications. This book was released on 2014-01-13 with total page 302 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book presents the results of a groundbreaking study on spillovers of knowledge and technology from global value-chain oriented foreign direct investment (FDI) in Sub-Saharan Africa, and discusses implications for policymakers hoping to harness the power of FDI for economic development.
Download or read book Foreign Direct Investment in Sub Saharan Africa written by Laurence Cockcroft and published by World Bank Publications. This book was released on 1991 with total page 74 pages. Available in PDF, EPUB and Kindle. Book excerpt: Foreign investment is even less likely to meet Sub-Saharan Africa's rising foreign exchange and savings gaps in the 1990s than in the dismal 1980s. Investors interested in Sub-Saharan Africa are more likely to commit technology and management than equity capital. Economic activity and overall economic policy may be more effective at raising the total volume of investment than special fiscal and other incentives.
Download or read book Foreign Direct Investment and Economic Development in Africa written by Hugh Dang and published by Cambridge Scholars Publishing. This book was released on 2019-01-17 with total page 489 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book explores several aspects of foreign direct investment (FDI) and their linkages to African economies. It will appeal to policy makers, development agency professionals and researchers, based as it is on stylized facts and rigorous analytical studies. The reader will find state-of-the-art analyses on FDI-related topics throughout the chapters. Policy makers and development professionals will find in this book a useful guide to draw sound policies based on facts and rigorous analyses.
Download or read book Investigating the Impact of Predicted Fall of Foreign Direct Investment on Gross Domestic Product in Low Income Countries written by Niyungeko Antoine and published by . This book was released on 2022 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: Fall of foreign direct investment inflows (FDI) are predicted to in 2020. The consequences of that prediction on economies of low, low middle, and upp-middle income countries are still unknown. The general objective of this paper is investigating the consequences of the predicted fall of FDI on economies as measured by Gross domestic product (GDP) of LMUMI countries. Specifically, the study analyses to what extent FDI was related to GDP, household consumption (HHC), export (EXP), import (IMP) and gross capital formation (GCF). It also analyses the impact of FDI on GDP, HHC, EXP, IMP and GCF. The paper finally examines direct and indirect effect of FDI on GDP via GDP, HHC, EXP, IMP and GCF. Spearman correlation, robust regression, bootstrap procedure, and robust mediation were used. The findings show a strong and positive correlation, a positive and statistically significant impact of FDI on other variables, statistically significant indirect effect of FDI on GDP via mediator variables (HHC, EXP, IMP, and GCF). The predicted fall of FDI will have a negative impact on all variables analyzed. Governments in low, low middle, and upper middle-income countries should prepare a clear plan to reduce the impact of the reduction of household income, export, import and gross capital formation. The ultimate consequence will be increasing in the unemployment rate, decreasing in gross domestic per capita, increasing in poverty, and decline in country competitiveness, etc. These states must prepare an economic recovery plan to soften the negative effects caused by this vicious circle of harmful consequences.
Download or read book Foreign Direct Investment in Africa written by United Nations Conference on Trade and Development. Division on Transnational Corporations and Investment and published by New York : United Nations. This book was released on 1995 with total page 134 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Foreign Direct Investment in Africa written by Jacques Morisset and published by World Bank Publications. This book was released on 2000 with total page 26 pages. Available in PDF, EPUB and Kindle. Book excerpt: A few Sub-Saharan countries, by improving their business environment, have begun to attract more substantial foreign direct investment than other African countries with bigger domestic markets and greater natural resources. Like Ireland and Singapore, perhaps they can become competitive internationally and attract sustainable foreign direct investment.
Download or read book The Role of Foreign Direct Investment in Sub Saharan Africa s Economic Growth written by Nomathemba Mhlanga and published by . This book was released on 2004 with total page 236 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Foreign Direct Investment to Developing Sub Saharan Africa and the Impact on Economic Development written by Edward Peter Ongweso and published by . This book was released on 2009 with total page 134 pages. Available in PDF, EPUB and Kindle. Book excerpt: The main purpose of this study was to investigate Sub-Saharan African countries' development by exploring the impact foreign direct investment (FDI) and other variables, including Inflation and GDP per capita, have on those countries' gross domestic product (GDP) growth rate. A comparison between developed countries and the Sub-Saharan African countries was utilized to emphasize the differences between the two countries.
Download or read book Us Foreign Direct Investments and Economic Growth in Sub Saharan Africa written by Linda Nichols and published by . This book was released on 2018 with total page 6 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper uses panel data for the period ranging from 1996 to 2013 to investigate the contribution of US foreign direct investment to economic growth in fourteen Sub-Saharan African Countries. We apply the fixed and random effects model as well as the Generalized Method of Moments model to estimate two different equations. In the first equation, capital stock is estimated to include US foreign direct investments for selected years while the second equation excludes US direct investment from the capital stock variable. The results of the estimations revealed that domestic capital significantly affect economic growth in these countries but found no discernible evidence that US FDI have any direct impact on economic growth in the host countries. The results also found significant effect of political stability and openness on the growth of Sub Saharan African countries. The implication of these findings is that the region can promote economic growth by mobilizing domestic resources, ensuring that there is political stability and opening their economies to external competition.
Download or read book Foreign Direct Investment in Emerging Economies written by Linda Cotton and published by . This book was released on 2001 with total page 30 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book US Foreign Direct Investments and Economic Growth in Sub Saharan Africa written by Sunando Sengupta and published by . This book was released on 2016 with total page 16 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper uses panel data for the period ranging from 1996 to 2013 to investigate the contribution of US foreign direct investment to economic growth in fourteen Sub-Saharan African Countries. We apply the fixed and random effects model as well as the Generalized Method of Moments model to estimate two different equations. In the first equation, capital stock is estimated to include US foreign direct investments for selected years while the second equation excludes US direct investment from the capital stock variable. The results of the estimations revealed that domestic capital significantly affect economic growth in these countries but found no discernible evidence that US FDI have any direct impact on economic growth in the host countries. The results also found significant effect of political stability and openness on the growth of Sub Saharan African countries. The implication of these findings is that the region can promote economic growth by mobilizing domestic resources, ensuring that there is political stability and opening their economies to external competition.
Download or read book The Impact of Foreign Direct Investment on the Economic Growth and Development of Sub Saharan African Countries written by Chikondi Oluremi Mseka and published by . This book was released on 1998 with total page 282 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Multinational Enterprises Foreign Direct Investment and Growth in Africa written by Bernard Michael Gilroy and published by Springer Science & Business Media. This book was released on 2006-03-30 with total page 303 pages. Available in PDF, EPUB and Kindle. Book excerpt: How can Africa, the world’s most lagging region, benefit from globalisation and achieve sustained economic growth? Africa needs greater investment by Multinational Enterprises (MNEs) to improve competitiveness and generate more growth through positive spill-over effects. Despite the fact that Africa’s returns on investment averaged 29% since 1990, Africa has gained merely 1% of global Foreign Direct Investment (FDI) flows. The challenge for African countries is how to be a more desirable destination for FDI. The study integrates three currents of economic research, namely from the literature on (endogenous) economic growth, convergence and regional integration, the explanations for Africa’s poor growth and the growing understanding of the role of MNEs in a global economy. The empirical side of the book is based on an econometric study of the determinants of FDI in Africa as well as a detailed firm-level survey conducted in 2000.
Download or read book Foreign Direct Investment in Africa written by Jacques P. Morisset and published by . This book was released on 2016 with total page 21 pages. Available in PDF, EPUB and Kindle. Book excerpt: A few Sub-Saharan countries, by improving their business environment, have begun to attract more substantial foreign direct investment than other African countries with bigger domestic markets and greater natural resources. Like Ireland and Singapore, perhaps they can become competitive internationally and attract sustainable foreign direct investment.Africa has not succeeded in attracting much foreign direct investment in the past few decades. When countries did attract multinational companies, it was principally because of their (abundant) natural resources and the size of their domestic market. Angola, Cote d'Ivoire, Nigeria, and South Africa have traditionally been the main recipients of foreign direct investment in Sub-Saharan Africa.But Morisset shows that a few Sub-Saharan countries have generated interest among international investors by improving their business environment. In the 1990s, Mali, Mozambique, Namibia, and Senegal attracted substantial foreign direct investment - more so than countries with bigger domestic markets (Cameroon, Republic of Congo, and Kenya) and greater natural resources (Republic of Congo and Zimbabwe).Mali and Mozambique, which improved their business climate spectacularly in the 1990s, did so with a few strategic actions: liberalizing trade, launching an attractive privatization program, modernizing mining and investment codes, adopting international agreements on foreign direct investment, developing a few priority projects that had multiplier effects on other investment projects, and mounting an image-building effort in which political figures such as the nation's president participated.These actions are similar to those associated with the success of other small countries with limited natural resources, such as Ireland and Singapore about 20 years ago.This paper - a product of the Foreign Investment Advisory Service, International Finance Corporation - is part of a larger effort to understand foreign direct investment flows in developing countries. The author may be contacted at [email protected].
Download or read book Spillovers from China onto Sub Saharan Africa written by Mr.Derek Anderson and published by International Monetary Fund. This book was released on 2015-10-06 with total page 34 pages. Available in PDF, EPUB and Kindle. Book excerpt: What is the impact of economic spillovers from China on sub-Saharan Africa (SSA)? This is an increasingly important question because of China’s growing economic role as a partner of SSA countriesfor both trade and the buildup of infrastructure in the region. The impact of spillovers from China has been an open question because of the challenge to use an internally consistent framework with solid economic foundations that accounts for both the direct impact China may have on individual countries in SSA through a variety of channels (trade, investment, financial) as well as the impact on the region through the global economy (economic activity and commodity prices). This paper explores those channels of transmission and provides illustrative order of magnitude for the short- and medium-term economic impact by using AFRMOD, a module of the Flexible System of Global Models (FSGM), a multicountry general equilibrium model developed at the IMF. Three alternative scenarios are considered: first, lower potential output in China that is originally misperceived as a temporary cyclical slowdown; second, structural reforms in China that aim to increase potential output; and third, a relocation of low-end manufacturing to sub-Saharan Africa.
Download or read book A Dark Century for Sub Sahara Africa written by Michael U. Umeadi and published by Author House. This book was released on 2008-02-27 with total page 124 pages. Available in PDF, EPUB and Kindle. Book excerpt: A DARK CENTURY FOR SUB SAHARA AFRICA Is the analysis of internal factors influencing foreign direct investment (FDI) in Nigeria, thus sub Sahara Africa in the broader context. Its purpose is to determine the internal factors: market size, political instability, corruption, natural resources and business climate influencing foreign direct investment. The direction of the case study is formulated by two research questions: What factors are likely to hinder FDI in Nigeria and what factors are likely to encourage FDI in Nigeria? The text is in six chapters. The first chapter examines the subtle truth, thus foreign direct investment flow to sub Sahara Africa. The second chapter explores some foreign direct investment foundation theories and recent scholarly studies on internal factors influencing FDI. The third chapter analyzes the internal factors influencing foreign direct investment within the context of the Nigerian economy. The fourth chapter examines the case study: Design Description, instrument construction, survey design, sample selection, steps of survey administration, data analysis and the limitations of the study. The fifth chapter reports the case study findings: demographics and case study results. The sixth chapter emphasizes on the remedies, thus presents wide-ranged reforms that include reform of the base social institutions and adoption of base economic development strategies and policies to drive in economic programs in Nigeria. Undoubtedly, the study is a valuable contribution to academic and policy research on Africa, laying out the action plan for the new future of Nigeria, thus, a plan of guide for other countries in the region, as well. It satisfies the reading and research needs of the academic and non-academic groups seeking to know part of the problem of economic development in sub Sahara Africa and the proffered remedies, thus the study and findings are persuasive and applicable.
