The Impact of Political Instability and Nominal Interest Rate on Foreign Direct Investment. The Case of Pakistan

The Impact of Political Instability and Nominal Interest Rate on Foreign Direct Investment. The Case of Pakistan PDF Author: Asif Hussain
Publisher: GRIN Verlag
ISBN: 3346516024
Category : Business & Economics
Languages : en
Pages : 25

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Book Description
Essay from the year 2021 in the subject Economics - Case Scenarios, grade: 14, , language: English, abstract: This paper will focus on the impact of domestic interest rate and political instability on FDI of Pakistan using time series data from 1989-2019 in case of Pakistan. The findings are that political instability has a major impact for short time period and in long time period but in case of interest rate there is a negative minimal impact on FDI in both span of time. This can be because when you have lower nominal interest rate, thenyour domestic investor will benefit and country GDP will rise.

The Impact of Political Instability and Nominal Interest Rate on Foreign Direct Investment. The Case of Pakistan

The Impact of Political Instability and Nominal Interest Rate on Foreign Direct Investment. The Case of Pakistan PDF Author: Asif Hussain
Publisher: GRIN Verlag
ISBN: 3346516024
Category : Business & Economics
Languages : en
Pages : 25

Get Book Here

Book Description
Essay from the year 2021 in the subject Economics - Case Scenarios, grade: 14, , language: English, abstract: This paper will focus on the impact of domestic interest rate and political instability on FDI of Pakistan using time series data from 1989-2019 in case of Pakistan. The findings are that political instability has a major impact for short time period and in long time period but in case of interest rate there is a negative minimal impact on FDI in both span of time. This can be because when you have lower nominal interest rate, thenyour domestic investor will benefit and country GDP will rise.

An Empirical Analysis of Foreign Direct Investment in Pakistan

An Empirical Analysis of Foreign Direct Investment in Pakistan PDF Author: Minhas Akbar
Publisher:
ISBN:
Category :
Languages : en
Pages : 11

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Book Description
The aim of this paper is to explore the trends in Foreign Direct Investment (FDI) inflows in Pakistan and to identify the key determinants of FDI for the period of 2000-2013. The country experienced a continuous surge in FDI inflows from 2000-2008. On the contrary, the phase of 2009-2013 has been characterized by a persistent decline in FDI in Pakistan. This slump is mainly attributed to political and economic instability as wells as poor law and order situation in the country. Keeping these periods with differing results in perspective, multiple regression analysis is employed to empirically analyze the key determinants that are expected to explain variation in FDI in Pakistan. The selected variables were found significant determinants of FDI in Pakistan. Gross Domestic Product (GDP), degree of trade openness and regime of dictatorship have a significant positive effect on FDI. While, terrorism attacks foreign debt, exchange rate, political instability, and domestic capital formation are negatively significant determinants of FDI inflows in Pakistan. Considering the dynamic changes in the broad macro factors in economy, this study provides a fresh perspective on the factors that determine FDI in Pakistan. Moreover, the study findings provide important insights to policy makers to design policy measures that enhance FDI inflows in Pakistan.

What Determines Private Investment?

What Determines Private Investment? PDF Author: Sajawal Khan
Publisher:
ISBN:
Category : Investments
Languages : en
Pages : 32

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Book Description


Foreign Direct Investment in Pakistan

Foreign Direct Investment in Pakistan PDF Author: Ashfaque H. Khan
Publisher:
ISBN:
Category : Business & Economics
Languages : en
Pages : 60

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Book Description
Given its fragile balance of payments position and urgent need to boost industrial production, Pakistan needs to significantly increase its mobilization of foreign resources. It is crucial to accord high priority to foreign direct investment (FDI). Sections of this report include: importance of FDI in Pakistan; review of FDI policy; trends, issues, FDI, and economic impact of FDI; concentrated FDI in the power sector and its balance of payments implications; and conclusions, lessons, and policy challenges. Charts and tables.

Foreign Direct Investment, Democracy, Dictatorship and Pakistan

Foreign Direct Investment, Democracy, Dictatorship and Pakistan PDF Author: Hafiz Muhammad Arslan
Publisher: LAP Lambert Academic Publishing
ISBN: 9783659169588
Category :
Languages : en
Pages : 116

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Book Description
In economic history of Pakistan, dictators have made good policies with regard to FDI and huge amount of FDI came into Pakistan in their regime. The credit also goes to the political stability and good macro indicators of economy in their era as compared to democratic governments, but every time dictator's period ended with huge political and economic crisis and destruction of national institutions. This book is a complete package of political and statistical analysis of policies, trends and importance of FDI in Pakistan from independence (1947) to 2009, based on quantitative and qualitative facts and figures. Moreover reasons of low FDI in Pakistan and their solutions are also discussed in detail. That's why very helpful for students of economics and finance, politicians, bureaucrats and for all those persons who have interest in Pakistani economics, role of politics and bureaucracy in economic matters and history of foreign investment policies of governments in different regimes after independence.

Determinants of Private Investment in Pakistan

Determinants of Private Investment in Pakistan PDF Author: Mr.Khaled Sakr
Publisher: International Monetary Fund
ISBN:
Category : Business & Economics
Languages : en
Pages : 40

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Book Description
This paper investigates the determinants of private investment in Pakistan with special emphasis on the impact of government investment. Using annual data for the period 1973/74-1991/92, it is estimated that private investment was positively correlated to GDP growth, to credit extended to the private sector, and to government investment. When government investment is disaggregated into Its infrastructural and noninfrastructural components, the latter is found to be negatively correlated with private investment.

Impact of Foreign Direct Investment on Economic Growth of Pakistan

Impact of Foreign Direct Investment on Economic Growth of Pakistan PDF Author: Najia Saqib
Publisher:
ISBN:
Category :
Languages : en
Pages : 11

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Book Description
Given contrasting evidence in the literature pertaining to the impact of Foreign Direct Investment on the host country's economy, we take the case of Pakistan and test the said association for this nation. The data used for this study has spanned over the period of 1981 till 2010. Besides FDI, four other variables including Debt, Trade, Inflation and Domestic Investment have been included in the study, to regress upon GDP of this country. The methodology to test the impact of these variables on Pakistan's economy has been limited to the least squares method. The co-integration of the variables has been ascertained through application of Augmented Dickey Fuller Test and is found to hold in the long run. Our findings indicate that Pakistan's economic performance is negatively affected by foreign investment while its domestic investment has benefitted its economy. Moreover, the nation's debt, trade and inflation have found to have negative impact on its GDP.

The Impact of Political Instability on Foreign Direct Investment [microform] : an Econometric Study of Direct Investment from the United Kingdom and the United States Into Canada, Across Industries and Over Time

The Impact of Political Instability on Foreign Direct Investment [microform] : an Econometric Study of Direct Investment from the United Kingdom and the United States Into Canada, Across Industries and Over Time PDF Author: Ermisch, Karl-Heinz Arvind
Publisher: Ann Arbor, Mich. : University Microfilms International
ISBN:
Category : Investments, American
Languages : en
Pages : 1294

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Book Description


Impact of Foreign Direct Investment on Economic Growth of Pakistan

Impact of Foreign Direct Investment on Economic Growth of Pakistan PDF Author: Mukhtiar Ali
Publisher:
ISBN:
Category :
Languages : en
Pages : 35

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Book Description
This study investigates the short and long run impact of Foreign Direct Investment (FDI) on Economic Growth of Pakistan. For this purpose, time series data from 1976-2015 has been collected from State Bank of Pakistan, World Bank and Economic Survey of Pakistan. Dependent variable used as Economic Growth (Gross Domestic Product Growth Rate (GDPGR) and independent variables as FDI, Gross Domestic Educational Expenditure (GDEX), Domestic Capital (KD), Openness to Trade (OPT), External Debt (EXD) and Labour Participation Rate (LPR). For stationarity of data Augmented Dickery Fuller (ADF) test was used and Auto Regressive Distributed Lag (ARDL) model was used to check the long-term co-integration among variables. The results of the study indicate that the FDI has significant positive impact on Economic Growth of Pakistan in short run whereas; it has insignificant negative impact on long rum at 5% significant level. Furthermore, the statistical results show that economic growth has significant impact on GDEX, OPT, EXD, KD and Insignificant impact on FDI and LPR. The significant epitome of this study is the requirement of the policy restructuring and implications by the Government of Pakistan which can be drawn from the findings of this study. Government of Pakistan should take necessary measures based on the recommendations of this study to enhance FDI and attract more investments both national and international.

Attracting Foreign Direct Investment in Pakistan

Attracting Foreign Direct Investment in Pakistan PDF Author: Sakina Lavingia
Publisher:
ISBN:
Category : Investments, Foreign
Languages : en
Pages : 97

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Book Description
Private sector investment has become one of the most essential sources of international capital flows to developing countries. Foreign Direct Investment (FDI) as one type of private sector investment has the potential to drive economic growth and development. Understanding the factors that motivate or deter foreign investors from investing in a developing country therefore is crucial. This thesis examines the particular case of Pakistan and analyzes internal and external factors that have affected the inclines and declines in inflows of FDI to the country between 2000 and 2014. By performing a comparative sectoral analysis, this thesis examines the effects of government efficacy, national security, and global levels of FDI inflows on FDI inflows on three distinct sectors in Pakistan: Energy, Telecommunications, and Financial Services. The thesis argues that a rapidly deteriorating domestic situation post-2008 due to weakened governance and limited security provision within the country has increased the perceived levels of risk and uncertainty associated with investing in Pakistan. This has resulted in a sharp decline in FDI inflows to the country.