Abstract
Over the last three decades, there have been
high inflows of FDI at unprecedented accelerated rates;
but the growth of exports has been increasing, however,
not at satisfactory level. FDI can affect, directly and
indirectly, the exports of hosting country. Using the time
series data from 1977 to 2005, a double log model has
been used to estimate impact of FDI on exports and results
show that the two years lagged FDI has statistical
significant positive impact on the current exports of
Pakistan. FDI in textile sector, which is backbone of
exports, had been very low in this period. The same was
the case with other exporting sectors. As a matter of fact,
exports do have a significant place in Pakistan, so
Government of Pakistan should formulate such economic
policies, as relaxation on foreign exchange control,
abolishment of technical fee and introduction of the
suitable tax relief policy for the foreign investors that
attract FDI, especially resource-oriented, in Pakistan.
Dr. Niaz Ahmed Bhutto, Abdul Khaliq Daudpota, Raja Shahzad, Maria Tabassum, Asma Malik. (2008) The Impact of Foreign Direct Investment (FDI) on Pakistan Exports: An Empirical Analysis, Journal of Independent Studies and Research-Management, Social Sciences and Economics, Volume-06, Issue-2.
-
Views
663 -
Downloads
58
Article Details
Volume
Issue
Type
Language
