DETERMINANTS OF FOREIGN DIRECT INVESTMENT INTO SUB-SAHARAN AFRICA: A Panel Data Analysis (1990-2016)

Feign Direct Investment;Official development Assistance;Sub-Saharan Africa;307

Selam Worku Kore국제대학원 국제학과(국제지역학전공) ;

University:서울대학교 대학원

关键词: Feign Direct Investment;    Official development Assistance;    Sub-Saharan Africa;    307;   

Others  :  http://s-space.snu.ac.kr/bitstream/10371/161126/1/000000156320.pdf

美国|英语

来源: Seoul National University Open Repository

【 摘 要 】

This study deals with to find out the main determinants of FDI in SSA countries. The studies consider countries to attract more FDI they should identify which factors are more sensitive for each countries as well as regional level. Therefore identifying the key determinants of FDI is a crucial task for policy makers. Compared to other developing countries, FDI inflow in to sub-Sahara Africa is very low, beside this study explores the role of Official Development Assistance and the landlocked effect in the attraction of Foreign Direct Investment (FDI). The study after testing which method is consistent with our data, fixed effect model is applied for the estimation of 44 SSA countries from the period 1990 to 2016 and simple OLS estimation method also applied to cheek the land looked dummy effect. The estimation results shows that Market size, Infrastructure, openness, Domestic credit to private and political stability and inflation are the key determinant in the attraction of FDI in this region. The results also show the interaction of ODA with infrastructure and ODA with political stability also has a significant effect of FDI inflow in to SSA countries. Besides, countries should also improve infrastructural development and political stabilities, as this strengthens the effectiveness of ODA in to attracting more FDI.