The role of foreign direct investment in less developed countries

  • Chengchun Li
  • , Sailesh Tanna

    Research output: Chapter in Book/Report/Conference proceedingChapter

    Abstract

    This chapter analyses a number of economic and developmental issues in less developed countries (LDCs), reviewing the related literature and outlining the
    challenges ahead for LDCs. The issues considered include foreign direct investment (FDI) policies, recent trends on growth, civil conflict, institutional development, financial sector development, external debt, and other macroeconomic factors. These are identified as pertinent areas where LDCs have faced major challenges in their endeavours to improve economic welfare since they are related to the absorptive capacities, which are important for accruing growth benefits from inward FDI in LDCs. It is anticipated that coverage of these issues will enlighten the issues that these countries face in order to attract and utilise inward FDI. Additionally, it is argued that LDCs can avoid the risk of civil conflict by adopting proactive policies to attract FDI.
    Original languageEnglish
    Title of host publicationForeign Direct Investments (FDIs) and Opportunities for Developing Economies in the World Market
    EditorsV Malepati, C. M. Gowri
    Place of PublicationHershey, PA, USA
    PublisherIGI Global
    Pages46-65
    ISBN (Electronic)9781522530275
    ISBN (Print)9781522530268, 1522530266
    DOIs
    Publication statusPublished - 1 Jan 2018

    UN SDGs

    This output contributes to the following UN Sustainable Development Goals (SDGs)

    1. SDG 10 - Reduced Inequalities
      SDG 10 Reduced Inequalities
    2. SDG 16 - Peace, Justice and Strong Institutions
      SDG 16 Peace, Justice and Strong Institutions

    Keywords

    • Foreign direct investment
    • conflict

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