From Ashes to Achievements: Corruption is pulling back one of the achievement tools (FDI inflows) in Bangladesh

Author:

Shapan C. Majumder

Farjana Layla

Journal: Bangladesh Journal of Political Economy

(pp: 157-180) | Doi No: http:/doi.org/10.56138/bjpe.jun2210

Photo

Abstract

To draw the success story of Bangladesh in 100 years, Foreign Direct Investment will be one of the ‘blood drops’ as it provides many opportunities; creates employment, shares knowledge, increases specialisation and opens up more windows for regional and global trade, that are imperative to make a well-developed economy but the scenario of inward FDI in Bangladesh is not at a satisfactory level. Corruption is one of the drawbacks of this failure, while trade openness accelerates the amount of FDI inflows. This study is based     on secondary data from 1986 to 2016.  To  examine the short-run and long-  run impact of corruption and trade openness, Auto Distributed Lag (ARDL) bound test approach is used. The results reveal that in the long-run GDP, trade openness positively impacts FDI inflows, and corruption negatively affects  FDI inflows in Bangladesh. Antithetically, in the short-run only trade openness positively prolongs the inward FDI. The empirical results are confirmed by robustness checking.

 

Contact

Name

Md. Anishur Rahman

Phone

+88 02 222225996

Email

bea.dhaka@gmail.com

Share On Social Media

Others Articles

Front Matter

1-11

by

Impact of FDI on Exports and Employment in Bangladesh

83-102

by Md. Mamun Miah, Shapan Chandra Majumder

Single-Digit Interest Rate and Future of Bangladesh Economy: A Brief Analysis

191-198

by Lizon Mia, Ankan Chandra Dey, Md. Tanjil Hossain

Bangladesh and the World: In 2050 and beyond

255-274

by Md. Anisur Rahman

Women Entrepreneurs of Small and Medium Enterprises: Failures and Remedies

333-352

by Tasnim Sultana, Bidduth Kanti Nath, Sujan Kanti Biswas

Evaluating the Energy (Power) Security in Bangladesh

395-402

by Mohammad Mohidul Islam

Predetermined History of War Economy

427-436

by Md. Bayazid Sarker

Determinants of SME Business in Mymensingh

509-520

by Md. Tanjil Hossain

  • Address: 4/C, Eskaton Garden Road, Dhaka-1000, Bangladesh
  • Mobile: +8801716418500
  • Telephone: +88 02 222225996
  • E-mail: bea.dhaka@gmail.com
  • Working Days/Hours: Saturday - Wednesday 10:00am to 6:00pm
    Thursday, Friday and Government Holidays Office Remain Closed