Factors Affecting FDI Flow in Ethiopia: An Empirical Investigation
Abstract
This paper examined the determinants of foreign direct investment in Ethiopia. Five variables including market size, level of trade openness, inflation rate, infrastructure, and human capital were used. Time-series data covering a 21-year period (1990-2011) were obtained from the World Bank and analyzed using multivariate ordinary least square regression. The findings show that level of trade openness and inflation rate of Ethiopia have had a significant impact on the flow of foreign direct investments to Ethiopia. No clear relationship was obtained for market size, infrastructure, and human capital.
Key word FDI, inflation rate, trade openness, human capital
To list your conference here. Please contact the administrator of this platform.
Paper submission email: EJBM@iiste.org
ISSN (Paper)2222-1905 ISSN (Online)2222-2839
Please add our address "contact@iiste.org" into your email contact list.
This journal follows ISO 9001 management standard and licensed under a Creative Commons Attribution 3.0 License.
Copyright © www.iiste.org