Inward and Outward Foreign Investments of the Asian Economies in Transition and India

Abstract

This chapter is divided into two parts. The first part examines panel data evidence concerning empirical significance of the determinants of Foreign Direct Investment (FDI) in CLMV countries. Theoretical and empirical findings and outcomes on FDI have been considered to test the model for the aforementioned nations. The data has been taken from the World Bank through 2005-2014. Findings accept the four proposed hypotheses and the results are significant. The second part explores the trade and FDI situation in CLMV through secondary data, and establishes that India has potential to augment bi-lateral ties through this route. Literature review for this section also corroborates with the findings of the first part.