Thesis On Foreign Direct Investment In Ghana

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For example, from 1980–1989 to 1990–1998, FDI to Sub-Saharan Africa (SSA) grew by 59 percent.

This compares disproportionately with high increase of 5,200 percent for Europe and Central Asia, 942 percent for East Asia and Pacific, 740 percent for South Asia, 455 percent for Latin America and Caribbean and 672 percent for all developing countries.

Although studies have been conducted to explore the determinants of FDI, some of the core macroeconomic variables such as inflation, interest rate, telephone subscriptions, electricity production, etc., which are unstable and have longstanding effects on FDI have not been much explored to a give a clear picture of the relationships. (2019), "Analysis of the determinants of foreign direct investment in Ghana", Journal of Asian Business and Economic Studies, Vol. FDI is essentially an international investment where the investor gains significant influence in the management of an entity outside the investor’s home country (Solomon, 2011).

Therefore, a study that will explore these and other macroeconomic variables to give clear picture of their relationships and suggest some of the possible ways of dealing with these variables in order to attract more FDI for the country to achieve its goal is what this paper seeks to do. FDI under all circumstances has become an important force in the internationalization of investment activities in the global economy.

The purpose of this paper is to examine the determinants of FDI in Ghana between the period of 19.

The study found a cointegrating relationship between FDI and its determinants.

The factors that determine foreign direct investment (FDI) are important to policy-makers, investors, the banking industry and the public at large.

FDI in Ghana has received increased attention in recent times because its relevance in the Ghanaian economy is too critical to gloss over.


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