Thesis Abstract

Abstract
Foreign Direct Investment (FDI) has become a significant driver of economic growth in developing countries. This study investigates the impact of FDI on economic growth in developing countries, focusing on various factors such as investment inflows, technology transfer, employment generation, and productivity enhancement. The research employs a quantitative approach, utilizing panel data analysis to examine the relationship between FDI and economic growth in a sample of developing countries over a period of time. The study begins with an introduction that outlines the importance of FDI as a catalyst for economic development in developing countries. It provides a background of the study, highlighting the increasing trend of FDI inflows into these economies and the potential benefits and challenges associated with such investments. The problem statement identifies the gaps in existing literature and the need for empirical evidence to understand the specific impact of FDI on economic growth in developing countries. The objectives of the study are to analyze the relationship between FDI and economic growth, assess the channels through which FDI affects economic growth, and evaluate the policy implications for maximizing the benefits of FDI in developing countries. The limitations of the study are also acknowledged, including data availability constraints and potential endogeneity issues in the analysis. The scope of the study covers a wide range of developing countries across different regions, allowing for a comprehensive analysis of the impact of FDI on economic growth. The significance of the study lies in providing valuable insights for policymakers, investors, and academics on the role of FDI in driving economic growth and development in developing countries. The structure of the thesis is organized into five main chapters. Chapter One introduces the research topic, presents the background, problem statement, objectives, limitations, scope, significance, and defines key terms. Chapter Two provides a comprehensive literature review on FDI, economic growth theories, empirical studies on the impact of FDI on economic growth, and relevant policy frameworks. Chapter Three outlines the research methodology, including data collection, variables selection, model specification, and analytical techniques. It also discusses the sample selection criteria and data sources used in the analysis. Chapter Four presents the findings of the empirical analysis, highlighting the relationship between FDI and economic growth, and examining the mediating effects of technology transfer, employment generation, and productivity enhancement. Finally, Chapter Five concludes the thesis by summarizing the key findings, discussing the policy implications, and suggesting areas for future research. The study contributes to the existing literature by providing empirical evidence on the impact of FDI on economic growth in developing countries, offering insights for policymakers and stakeholders to harness the benefits of FDI for sustainable development.

Thesis Overview

The Impact of Foreign Direct Investment on Economic Growth in Developing Countries Overview: Foreign Direct Investment (FDI) plays a crucial role in shaping the economic landscape of developing countries. The inflow of FDI brings in capital, technology, managerial expertise, and access to international markets, which are essential for economic growth and development. This research project aims to examine the impact of FDI on economic growth in developing countries, focusing on the various factors that influence this relationship. The research will begin by providing an introduction to the topic, highlighting the significance of FDI as a driver of economic growth in developing countries. The background of the study will explore the historical context of FDI and its evolution over time, leading to its current importance in the global economy. The problem statement will identify the gaps in existing literature and the need for further research on the relationship between FDI and economic growth in developing countries. The objectives of the study will be outlined to clarify the specific goals and research questions that will guide the investigation. The limitations of the study will be acknowledged to provide a realistic assessment of the scope and constraints of the research. The scope of the study will define the geographical and sectoral focus of the analysis, while the significance of the study will highlight the potential contributions to academia, policy-making, and economic development. The structure of the thesis will be outlined to provide a roadmap of the research, indicating the organization of chapters and key sections. Definitions of terms will be provided to clarify the key concepts and variables used in the study, ensuring a common understanding of the terminology employed. Chapter two will consist of a comprehensive literature review, presenting an in-depth analysis of existing research on the impact of FDI on economic growth in developing countries. The review will summarize key findings, identify gaps in knowledge, and highlight theoretical frameworks and empirical methodologies used in previous studies. Chapter three will detail the research methodology, including the research design, data sources, sampling techniques, and analytical methods employed in the study. The chapter will also discuss the variables, hypotheses, and statistical models used to analyze the relationship between FDI and economic growth in developing countries. Chapter four will present the findings of the research, discussing the empirical results and implications for theory and policy. The chapter will analyze the impact of FDI on economic growth, exploring the mediating factors and contextual conditions that influence this relationship in developing countries. Chapter five will provide a conclusion and summary of the thesis, highlighting the key findings, contributions, and implications of the research. The chapter will also offer recommendations for future research and policy interventions to enhance the positive impact of FDI on economic growth in developing countries. Overall, this research project aims to deepen our understanding of the complex relationship between FDI and economic growth in developing countries, shedding light on the mechanisms through which FDI can contribute to sustainable and inclusive development. By examining the opportunities and challenges associated with FDI inflows, the study seeks to inform policy-makers, investors, and stakeholders on strategies to maximize the benefits of FDI for economic growth and development in developing countries.