What a Impact of Foreign Direct Investment on Indian Economic Growth
Foreign direct investment, or FDI for short, has become a cornerstone for both governments and corporations. By acquiring a controlling interest in foreign assets, corporations can quickly acquire new products and technologies, as well as sell their existing products to new markets. And by encouraging foreign direct investment, governments can create jobs and improve economic growth. The impact of foreign direct investment on the host country’s economic growth has been a source of debate in past theoretical and empirical investigations. Foreign Direct Investment (FDI) is indeed a critical driver of economic growth in both the investing and host countries. FDI involves the allocation of capital, technology, and management expertise from one country to another. Here are some key points regarding the role of FDI in promoting economic growth: Capital Inflow: FDI provides a source of external capital, which can be used for investment in various sectors of the host country’s economy. This c