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Determinants of Foreign Direct Investment Inflows to Myanmar

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  • Hidekatsu Asada

Abstract

The fast growth of Myanmar in recent decades was brought by capital accumulation, supported by foreign direct investment (FDI) and productivity improvement. A vector error correction model (VECM) analysis on the determinants of FDI inflows to Myanmar from 2000 to 2018 revealed the existence of a positive and long-term relationship between FDI inflows, and the quality of public sector governance and human capital development. The result underpins the importance of implementing reform measures to create a business-friendly policy framework to attract foreign investors.

Suggested Citation

  • Hidekatsu Asada, 2021. "Determinants of Foreign Direct Investment Inflows to Myanmar," Bulletin of Applied Economics, Risk Market Journals, vol. 8(1), pages 19-28.
    • Handle: RePEc:rmk:rmkbae:v:8:y:2021:i:1:p:19-28
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    References listed on IDEAS

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    More about this item

    Keywords

    foreign direct investment; public sector governance; human capital development; Myanmar;
    All these keywords.

    JEL classification:

    • F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration

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