The Effects of the Global Pandemic on China’s One Belt, One Road Outward Foreign Direct Investment in the Association Southeast Asian Nations (ASEAN) Region

2020 ◽  
Author(s):  
Nam Foo ◽  
Hooi Hooi Lean ◽  
Ruhul Salim
Keyword(s):  
Foreign Direct Investment ◽  
Direct Investment ◽  
Southeast Asian ◽  
Outward Foreign Direct Investment ◽  
Global Pandemic ◽  
One Belt One Road

scholarly journals Harmony in Diversity: Can the One Belt One Road Initiative Promote China’s Outward Foreign Direct Investment?

2018 ◽  
Vol 10 (9) ◽  
pp. 3264 ◽  
Author(s):  
Lili Kang ◽  
Fei Peng ◽  
Yu Zhu ◽  
An Pan
Keyword(s):  
Foreign Direct Investment ◽  
Direct Investment ◽  
Outward Foreign Direct Investment ◽  
Host Countries ◽  
Cultural Convergence ◽  
One Belt One Road ◽  
Institutional Cooperation ◽  
The One ◽  
Matching Techniques ◽  
Econometric Technique

This paper investigates the effect of the One Belt One Road (OBOR) initiative on China’s outward foreign direct investment (OFDI) using a dataset of all host countries for the period of 2010–2015. The employed econometric technique combines a difference-in-differences estimator with matching techniques. The results show that China’s OFDI in OBOR countries is about 40% higher than in non-OBOR countries. After the initiative, the OFDI from China increases by 46.2% in OBOR countries. However, after controlling for the heterogeneity across OBOR and non-OBOR countries using the matching approach, the significance of the increasing effect caused by the OBOR initiative disappears. We also find the OBOR initiative diminishes the resource-seeking motivation and improves the market-seeking motivation of China’s OFDI. Our results cast doubts on the infrastructure-led and institution-based strategy of the OBOR initiative, but support the boosting effect of the OBOR initiative on institutional cooperation and cultural convergence. Thus, the OBOR initiative is a sustainable continuation and development of the long tradition of economic, institutional, and cultural convergence with the OBOR countries, rather than a temporary policy shock.

The Political Economy of Chinese Outward Foreign Direct Investment in ‘One-Belt, One-Road (OBOR)’ Countries

2019 ◽  
pp. 360-384
Author(s):  
Ka Zeng
Keyword(s):  
Political Economy ◽  
Foreign Direct Investment ◽  
Direct Investment ◽  
Preliminary Evidence ◽  
The Political ◽  
Outward Foreign Direct Investment ◽  
Chinese Investment ◽  
Political Risks ◽  
Role Of The State ◽  
One Belt One Road

This chapter engages in an analysis of the political economy of Chinese outward foreign direct investment (COFDI) in ‘One-belt, One-Road’ (OBOR) countries between 2005 and 2014. Research findings yield a couple of interesting results. First, there is strong evidence supporting the resource-seeking motivation behind COFDI to OBOR countries. Secondly, in contrast to previous findings, this study yields some preliminary evidence that COFDI is more likely to seek out countries with low political risks. Thirdly, the results suggest that in addition to going to countries with good political relations with Beijing, COFDI has also been more likely to flow to countries with shared diplomatic interests and agenda with the United States. Taken together, these findings point to the politically driven nature of Chinese investment in OBOR countries and the potentially central role of the state in guiding Chinese investment in the region.

An Empirical Investigation of India’s Outward Foreign Direct Investment: A Macro Perspective

2019 ◽  
Vol 5 (2) ◽  
pp. 79-88
Author(s):  
Dikshita Kakoti
Keyword(s):  
Foreign Direct Investment ◽  
Direct Investment ◽  
Real Effective Exchange Rate ◽  
Outward Foreign Direct Investment ◽  
Fdi Inflows ◽  
Long Run ◽  
Increasing Trend ◽  
Effective Exchange ◽  
Short Run ◽  
Effective Exchange Rate

Since 1990, globalization of Indian economy led to a speedy growth of foreign direct investment (FDI) inflows and simultaneously outward foreign direct investment (OFDI) also shows an increasing trend. However, India’s OFDI has attracted a little attention from the researchers and they have considered the OFDI in terms of commitments or approved equities. The motivation of this article is to investigate the India’s macro factors influencing actual OFDI flows from India by empirically recognizing four factors, namely gross domestic product, inward FDI, real effective exchange rate, and real interest rate over the period 1980–2016. The study has used Augmented Dicky-Fuller (ADF) and Phillips–Perron (PP) Unit root tests for checking the stationarity of the variable of the model. Later on, autoregressive distributive lag (ARDL) model and error correction mechanism is used for testing the long-run as well as short-run dynamics of the model. The result shows that all the selected variables have positive and significant influence on India’s outward investment flows.

Sign in / Sign up

Export Citation Format

Share Document