Saini, Vijender Pal
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Relationship between Outward FDI and Home Country Exports: An Empirical Study of Bangladesh Ravinder; Poonam; Saini, Vijender Pal
Journal of Developing Economies Vol. 7 No. 2 (2022)
Publisher : Universitas Airlangga

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.20473/jde.v7i2.38898

Abstract

The present paper investigates the association between outward FDI, exports and growth using data from 1990-2021. The novel estimation procedure of ARDL is used in the study to examine the long and short-run dynamics. Further, the causal relationship between outward FDI, exports and growth is also examined. The results imply that exports, OFDI, and economic growth in Bangladesh have a long-term cointegrating relationship. Additionally, FDI from abroad helps to increase the nation's exports. The study's conclusions are supported by the negative coefficient of the error-correcting term. The study provides useful insights for the policymakers of the country.