The impact of foreign direct investment (FDI) on economic growth in developing countries ( Zimbabwe)
- Author
- ARIZONA SAMKELISO E
- Title
- The impact of foreign direct investment (FDI) on economic growth in developing countries ( Zimbabwe)
- Abstract
- This study focused on the impact of FDI on economic growth in Zimbabwe from 1993 to 2022, using the Ordinary Least Squares (OLS) method. Secondary data was used to estimate the regression model. The independent variables used were FDI, inflation and external debt. After estimation, results showed that FDI and inflation are statistically significant in explaining their effects on economic growth. External debt was found to be statistically insignificant and negatively affecting economic growth in Zimbabwe. After establishing that FDI is of paramount importance in promoting economic growth, the study went on to recommend that the government implements policies that improve the flow of FDI into the country, for instance, ensuring that there is political stability as this will attract more foreign investors into the country. Also, GDP would probably be enhanced by embracing and incorporating additional measures that would facilitate an increase in the country’s output such as increasing capacity in the mining industry and the agricultural sector as well.
- Date
- 2024
- Publisher
- BUSE
- Keywords
- foreign direct investment
- economic growth
- Supervisor
- Dr Benard Nkala
- Item sets
- Department of Economics
- Media
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ARIZONA SAMKELISO E
Part of The impact of foreign direct investment (FDI) on economic growth in developing countries ( Zimbabwe)