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The Effects of FDI and Exports on Economic Growth of Russia and its Far Eastern District

Han-Sol Lee and Woosik Yu

Eastern European Economics, 2022, vol. 60, issue 6, 479-497

Abstract: This paper empirically tests the effects of FDI and exports on the sustainable economic growth of Russia in general, and that of its Far Eastern District in particular, using a state-level dataset. The results show that FDI inflows positively facilitate the income growth of Russia in general. However, it is export rather than the FDI that plays a key role in inducing economic growth for the Far Eastern district. Based on our empirical analyses, we suggest the Far Eastern states pursue export-led growth strategy and improve the current FDI structure that is distorted toward the energy sector.

Date: 2022
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DOI: 10.1080/00128775.2022.2114914

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Handle: RePEc:mes:eaeuec:v:60:y:2022:i:6:p:479-497