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Foreign Direct Investment in Bangladesh: An Empirical Analysis on its Determinants and Impacts

By Syed Manzur Quader


In this paper, the catalyst variables of FDI inflows in Bangladesh are examined by applying extreme bounds analysis to the time series data from 1990-91 to 2005-06. The results reveal that wage, trade openness, net export, GDP growth and tax rate have robust result. Also two years lagged values of FDI and change in the level of domestic investment are found to have a positive effect on economic growth.

Topics: F23 - Multinational Firms; International Business, F14 - Empirical Studies of Trade, F41 - Open Economy Macroeconomics
Year: 2009
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