Is Aid-FDI-Financial Development Dynamics a Vanguard for Economic Growth? Perspective of the Emerging Asian Economies
Narayan Sethi,
Biswanath Behera and
Devi Prasad Dash
The International Trade Journal, 2025, vol. 39, issue 2, 148-171
Abstract:
We study how aid, foreign capital inflows, and financial development impact economic growth, along with the role of productive capacity in emerging Asian economies spanning from 1990 to 2020. The results of the study reveal that foreign aid, foreign capital inflows, and financial development positively contribute to economic growth, while human development and institutional quality reflect a negative association. Moreover, the interaction effects state that aid-led financial development negates growth, while FDI-led financial development amplifies growth. Overall, our empirical findings suggest that emerging Asian economies need to adopt sustainable prudent macroeconomic dynamics to revive growth in a robust manner.
Date: 2025
References: Add references at CitEc
Citations:
Downloads: (external link)
http://hdl.handle.net/10.1080/08853908.2023.2253319 (text/html)
Access to full text is restricted to subscribers.
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:taf:uitjxx:v:39:y:2025:i:2:p:148-171
Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/uitj20
DOI: 10.1080/08853908.2023.2253319
Access Statistics for this article
The International Trade Journal is currently edited by George R. G. Clarke
More articles in The International Trade Journal from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().