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Determinants of Foreign Direct Investment Inflows to Myanmar

Hidekatsu Asada

Bulletin of Applied Economics, 2021, vol. 8, issue 1, 19-28

Abstract: The fast growth of Myanmar in recent decades was brought by capital accumulation, supported by foreign direct investment (FDI) and productivity improvement. A vector error correction model (VECM) analysis on the determinants of FDI inflows to Myanmar from 2000 to 2018 revealed the existence of a positive and long-term relationship between FDI inflows, and the quality of public sector governance and human capital development. The result underpins the importance of implementing reform measures to create a business-friendly policy framework to attract foreign investors.

Keywords: foreign direct investment; public sector governance; human capital development; Myanmar (search for similar items in EconPapers)
JEL-codes: F21 O15 (search for similar items in EconPapers)
Date: 2021
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