The distribution and determinants of Turkey’s FDI positions in Africa

Abdulkadir Wahab Aman () and Zeynep Kaplan ()
Additional contact information
Abdulkadir Wahab Aman: Department of Economics, Yildiz Technical University, Istanbul, Turkey.
Zeynep Kaplan: College of Economics and Trade, Hunan University, Changsha 410079, China.

Turkish Economic Review, 2017, vol. 4, issue 4, 400-413

Abstract: This study investigates the key determinants of Turkey’s FDI positions in Africa by employing the gravity model. The major objective is to identify the core macroeconomic, socio-cultural, political, and governance-related determinants. PMLE is used in order to efficiently test the impact of dummy variables. Besides, three different models are estimated – the whole Africa, SSA and North African countries to investigate the variations in the FDI factors within the continent. The results illustrate that GDP size, per capita income, improvement in economic freedom and corruption levels, sharing common religion, improvement in easiness of doing businesses, and better political stability are attracting FDI from Turkey to Africa in general and SSA in particular. In the North African region, the FDI positions of Turkey are increasing in parallel to the GDP growth of Turkey, its import volume and the macroeconomic conditions of the hosting economiesh.

Keywords: Turkey-Africa relations; Gravity model; FDI. (search for similar items in EconPapers)
JEL-codes: B17 C01 C23 F21 (search for similar items in EconPapers)
Date: 2017
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://www.kspjournals.org/index.php/TER/article/download/1525/1480 (application/pdf)
http://www.kspjournals.org/index.php/TER/article/view/1525 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ksp:journ2:v:4:y:2017:i:4:p:400-413

Access Statistics for this article

Turkish Economic Review is currently edited by Bilal KARGI

More articles in Turkish Economic Review from KSP Journals Istanbul, Turkey.
Bibliographic data for series maintained by Bilal KARGI ( this e-mail address is bad, please contact ).