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Building bridges: impact of regional cooperation and the belt and road initiative integration on Afghanistan’s trade balance

Author

Listed:
  • Zaki Zakirullah

    (Hohai University)

  • Guiliang Tian

    (Hohai University, Business School)

  • Rafiq Imran

    (Economic Faculty, Sayed Jamaluddin Afghani University)

Abstract

The main purpose of the study is to shed light on how the Belt and Road Initiative, Foreign Direct Investment, and Regional Cooperation affect Afghanistan's Trade Balance. In research, we used a mixed-methods approach to thoroughly investigate the relationships among distinct variables. The exploratory factor analysis (EFA) and reliability analysis were carried out using SPSS and AMOS was utilized in the research to validate the data and establish a measurement model, for confirmatory factor analysis (CFA). The study found that integration with BRI has a significant impact on Afghanistan’s trade balance (M = 3.925, SD = 1.048), with effective regional cooperation Afghanistan can enhance trade, ease barriers, and promote cooperation with neighboring countries (M = 4.017, SD = 1.095). Trade Balance (M = 3.938, SD = 1.112), Also, the importance of attracting FDI is to boost exports and reduce dependence on imports and it is necessary to implement policies for sustainable development (M = 3.983, SD = 1.096). To promote trade, and cooperation and ensure prosperity in the region, the governments can utilize strategic cooperation and create investment opportunities. In conclusion, the study found the importance of cooperation, strategies, and attracting FDI to address both trade facilitation and promote investment for a positive impact on trade balance and influence development. Key Words:Belt and Road Initiative, Regional cooperation, Trade Balance, FDI

Suggested Citation

  • Zaki Zakirullah & Guiliang Tian & Rafiq Imran, 2024. "Building bridges: impact of regional cooperation and the belt and road initiative integration on Afghanistan’s trade balance," International Journal of Research in Business and Social Science (2147-4478), Center for the Strategic Studies in Business and Finance, vol. 13(5), pages 615-632, July.
    • Handle: RePEc:rbs:ijbrss:v:13:y:2024:i:5:p:615-632
    DOI: 10.20525/ijrbs.v13i5.3542
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