Thesis Abstract

Abstract
This thesis investigates the impact of foreign direct investment (FDI) on economic growth in developing countries. The study aims to analyze the relationship between FDI inflows and the economic growth of developing nations, with a particular focus on the mechanisms through which FDI influences economic development. The research methodology involves a comprehensive literature review, quantitative analysis of FDI data, and case studies of selected developing countries to provide a nuanced understanding of the topic. Chapter One introduces the research by outlining the background of the study, presenting the problem statement, objectives, limitations, scope, significance, structure of the thesis, and definition of key terms. Chapter Two conducts a thorough literature review, examining existing studies on FDI and economic growth in developing countries, highlighting the various theories and empirical findings in this field. Chapter Three describes the research methodology, including the data collection process, analytical tools, and research design. It also discusses the variables and indicators used to measure FDI impact on economic growth. The chapter outlines the quantitative and qualitative methods employed to analyze the data and draw meaningful conclusions. Chapter Four presents a detailed discussion of the findings, interpreting the results of the data analysis and case studies. It examines the different channels through which FDI affects economic growth, such as technology transfer, human capital development, and export expansion. The chapter also explores the role of government policies in attracting and maximizing the benefits of FDI for sustainable economic growth. Chapter Five concludes the thesis by summarizing the key findings, discussing the implications for policy and practice, and suggesting areas for future research. The study contributes to the existing literature by providing insights into the nuanced relationship between FDI and economic growth in developing countries, offering recommendations for policymakers, investors, and other stakeholders to leverage FDI for inclusive and sustainable development. Overall, this thesis enhances our understanding of the impact of FDI on economic growth in developing countries, shedding light on the opportunities and challenges associated with foreign investment as a driver of economic development. The findings underscore the importance of creating an enabling environment for FDI inflows, promoting technology transfer and knowledge spillovers, and ensuring that FDI contributes to inclusive growth and poverty reduction in developing economies.

Thesis Overview

The research project titled "The Impact of Foreign Direct Investment on Economic Growth in Developing Countries" aims to investigate the relationship between foreign direct investment (FDI) and economic growth in developing countries. Foreign direct investment has been a significant driver of economic development globally, particularly in developing countries where it is often seen as a crucial source of capital, technology transfer, and job creation. Understanding the impact of FDI on economic growth in developing countries is essential for policymakers, investors, and other stakeholders to make informed decisions and policies. The research will delve into the theoretical underpinnings of FDI and economic growth, exploring the existing literature on the subject to provide a comprehensive overview of the various perspectives and findings. The study will analyze the mechanisms through which FDI can influence economic growth, such as technology spillovers, human capital development, and infrastructure improvement. Additionally, the research will examine the factors that can affect the effectiveness of FDI in driving economic growth, including institutional quality, regulatory environment, and macroeconomic stability. Methodologically, the research will employ both quantitative and qualitative approaches to analyze the impact of FDI on economic growth in developing countries. Quantitative methods such as regression analysis and panel data modeling will be used to assess the statistical relationship between FDI inflows and economic growth indicators. Qualitative methods such as case studies and interviews with key stakeholders will provide deeper insights into the mechanisms and challenges associated with FDI-led economic growth in developing countries. The findings of this research project are expected to contribute to the existing body of knowledge on the impact of FDI on economic growth in developing countries. By providing a nuanced analysis of the relationship between FDI and economic growth, the study aims to offer valuable insights for policymakers, investors, and other stakeholders seeking to leverage FDI for sustainable economic development. Ultimately, the research seeks to inform evidence-based policy recommendations and strategies to maximize the benefits of FDI for economic growth in developing countries.