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Foreign direct investment - driver or inhibitor of sustainable development?

Author

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  • Milea Camelia

Abstract

Foreign direct investment (FDI) is a way to supplement domestic sources of financing an economy. It can contribute to the sustainable development of the host country in certain situations. But FDI can have also negative effects on the recipient country, which represent impediments for its sustainable development. In this article I intend to highlight, based on the analysis and synthesis, both the positive effects of foreign direct investment that can contribute to the sustainable development of the host country and the negative effects that may prevent its sustainable economic growth. I will also present the directions where foreign direct investment is needed in Romania in order to support the sustainable development of our country, and also a few actual situations in which foreign direct investment made in Romania have adversely affected the economic trend.

Suggested Citation

  • Milea Camelia, 2015. "Foreign direct investment - driver or inhibitor of sustainable development?," Impact of Socio-economic and Technological Transformations at National, European and International Level (ISETT), Institute for World Economy, Romanian Academy, vol. 7.
    • Handle: RePEc:iem:imptrs:v:7:y:2015:id:2822000009382159
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    Citations

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    Cited by:

    1. FRATICIU Lucia, 2019. "Considerations Regarding The Relevance Of Direct Foreign Investments In The Global Economy," Studies in Business and Economics, Lucian Blaga University of Sibiu, Faculty of Economic Sciences, vol. 14(1), pages 51-59, April.

    More about this item

    Keywords

    foreign direct investment; sustainable development; negative effects; positive effects; host country;
    All these keywords.

    JEL classification:

    • F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
    • F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies
    • O19 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - International Linkages to Development; Role of International Organizations

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