Securing Land, Securing Investment: A Conceptual Framework for Equitable Land Governance in Foreign Direct Investments

Sivarnia a/p Mogan, Ainur Zaireen Zainudin and Rohaya Abdul Jalil
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Sivarnia a/p Mogan: Department of Real Estate, Universiti Technologi of Malaysia, Johor Bahru, 81310, Malaysia
Ainur Zaireen Zainudin: Centre of Real Estate, Universiti Technologi of Malaysia, Johor Bahru, 81310, Malaysia
Rohaya Abdul Jalil: Department of Real Estate, Universiti Technologi of Malaysia, Johor Bahru, 81310, Malaysia

International Journal of Research and Innovation in Social Science, 2025, vol. 9, issue 11, 2613-2623

Abstract: Investments are the engine of economic growth, and among multiple types of investments, foreign direct investment (FDI) is one of the most significant contributors. FDI plays a crucial role in attracting investors who eventually contribute to the economy. However, studies have indicated that, in many parts of the world, such as Ghana and other parts of Africa, land- grabbing activities by foreign investors have caused the locals and their families to involuntarily relocate to other settlements due to poverty. The concept of displacement and loss of property brings to the fore the matter of landowners' property and rights, which eventually disrupts Sustainable Development Goal 1 (SDG 1), which aims to end poverty in all forms everywhere. Therefore, this article attempts to propose a conceptual framework for land policy that can distribute land equitably among foreign direct investors and local communities. Using John Dunning's OLI paradigm and the Von Thünen model to develop the framework, it was found that location advantage, ownership advantage, and internalization advantage influence both foreign investors and locals.

Date: 2025
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