What is FDI? Foreign Direct Investment is the investment which is done in productive assets and participation in the management of the company as the stake holders by a company which is based in one country‚ into a company based in another country. Recently the cabinet said OK for 51% FDI in multi-brand retail sector & 100% FDI in single brand. Foreign Investment in India is governed by the FDI policy announced by the Government of India and the provision of the Foreign Exchange Management Act (FEMA)
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proposition that there is endogeniety i.e.‚ bi-directional relationship between FDI and economic growth in Nigeria. Single and simultaneous equation systems are employed to examine if there is any sort of feed-back relationship between FDI and economic growth in Nigeria. The results obtained show that FDI and economic growth are jointly determined in Nigeria and there is positive feedback from FDI to growth and from growth to FDI. The overall policy implication of the result is that policies that attract
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‘miracle-made countries’ have conducted open-up policies to attract FDI‚ which in turn plays a crucial role in improving the nations’ total GDP and stimulating economic growth. While unfortunately‚ the 2000s global recession which was caused by subprime crisis‚ has caused and is going to continue cause a fall in FDI in Asian countries. In the following paragraphs‚ the role of FDI in the rise of Asia and the impact of global recession on future FDI in these Asian countries would be described in detail. And
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Economic growth may additionally result from a wider range of intermediate goods in FDI-related production (Feenstra and Markusen‚ 1994). Caves (1996) observed that the rationale for increased efforts to attract more FDI stems from the belief that FDI has several positive effects. Among these are productivity gains‚ technology transfers‚ introduction of new processes‚ managerial skills
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1 Preface ....................................................................................................................................................... 2 2 Introduction ............................................................................................................................................. 2 2.1 Porter’s Diamond model .............................................................................................
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REGIONAL TRENDS IN FDI CHAPTER II Salient features of 2011 FDI trends by region include the following: • Sub-Saharan Africa drew FDI not only to its natural resources‚ but also to its emerging consumer markets as the growth outlook remained positive. Political uncertainty in North Africa deterred investment in that region. • FDI inflows reached new record levels in both East Asia and South-East Asia‚ while the latter is catching up with the former through higher FDI growth. • FDI inflows to South
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i Globalization- Today the world has become a global village where each and every thing is interlinked.The concept of global village or global merger is based on the grounds of globalization. Now thequestion arises in one¶s mind what is globalizationThe term globalization means the concentration of world economy in to a single international market rather than many national markets. For example‚ the APPLE INC‚ an American multinational corporation that concentrates in computer hardware and software
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FDI in Insurance Introduction The insurance sector in India used to be dominated by the state-owned Life Insurance Corporation and the General Insurance Corporation and its four subsidiaries. But in 1999‚ the Insurance Regulatory and Development Authority (IRDA) Bill opened it up to private and foreign players‚ whose share in the insurance market has been rising. As a part of overall financial sector reforms‚ the Government set up the Committee for Reforms in the Insurance Sector in 1992. In its
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Group: 3 Hand in date: 12 Jan 2007 Word count: 2588 Content 1. Introduction P.1 2. Motivations of using FDI as cross border investment P.2 3. FDI impact on nation states P.6 3.1 Advantage of FDI to host country P.6 3.2 Disadvantage of FDI to host country P.9 3.3 Advantage & Disadvantage of FDI to home country P.10 4. Root causes of financial crisis P.11 5. Methods for survival in financial crisis P.13 6. Impact on
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i. Automatic route FDI up to 100 per cent is allowed under the automatic route in all activities/sectors except where the provisions of the consolidated FDI Policy‚ paragraph on ‘Entry routes for Investment’ issued by the Government of India from time to time‚ are attracted. FDI in sectors /activities to the extent permitted under the automatic route does not require any prior approval either of the Government or the Reserve Bank of India. ii. Government route FDI in activities not covered
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