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Foreign Direct Investment in Bangladesh: An Empirical Analysis on its Determinants and Impacts

Syed Quader

MPRA Paper from University Library of Munich, Germany

Abstract: In this paper, the catalyst variables of FDI inflows in Bangladesh are examined by applying extreme bounds analysis to the time series data from 1990-91 to 2005-06. The results reveal that wage, trade openness, net export, GDP growth and tax rate have robust result. Also two years lagged values of FDI and change in the level of domestic investment are found to have a positive effect on economic growth.

Keywords: Capital investment; economic growth; crowding out; gross domestic capital formation; tariff (search for similar items in EconPapers)
JEL-codes: F14 F23 F41 (search for similar items in EconPapers)
Date: 2009
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Citations: View citations in EconPapers (3)

Published in Asian Economic Review 52.1(2010): pp. 1-16

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