Thesis Abstract

Abstract
Foreign Direct Investment (FDI) plays a crucial role in the economic development of developing countries by facilitating capital inflows, technology transfer, and employment generation. This study aims to analyze the impact of FDI on economic growth in developing countries, focusing on key variables such as gross domestic product (GDP) growth, employment creation, technology diffusion, and industrial development. The research methodology involves a comprehensive literature review to provide a theoretical framework, followed by empirical analysis using econometric models to examine the relationship between FDI and economic growth. Chapter One provides an introduction to the research topic, background of the study, problem statement, objectives, limitations, scope, significance, structure of the thesis, and definition of key terms. Chapter Two presents a detailed literature review comprising ten key points related to FDI, economic growth, and development in developing countries. Chapter Three outlines the research methodology, including research design, data collection methods, sampling techniques, variables, and statistical analysis procedures. Chapter Four presents a thorough discussion of the research findings, interpreting the empirical results and assessing the impact of FDI on economic growth in developing countries. The analysis includes the identification of key factors influencing the relationship between FDI and economic growth, such as government policies, market conditions, and institutional frameworks. Furthermore, the chapter examines the implications of FDI for industrial development, technology diffusion, and employment creation in developing countries. Finally, Chapter Five provides a conclusion and summary of the research findings, highlighting the main contributions, implications, and recommendations for policymakers, investors, and other stakeholders. The study concludes that FDI plays a vital role in promoting economic growth in developing countries, but its impact varies depending on specific factors and conditions. The findings suggest that enhancing the absorptive capacity, improving regulatory frameworks, and promoting sustainable development practices are essential for maximizing the benefits of FDI and fostering long-term economic growth in developing countries. Keywords Foreign Direct Investment, Economic Growth, Developing Countries, GDP, Technology Transfer, Industrial Development, Employment Creation, Econometric Analysis.

Thesis Overview

The research project titled "The Impact of Foreign Direct Investment on Economic Growth in Developing Countries" aims to investigate the relationship between foreign direct investment (FDI) and economic growth in developing nations. Foreign direct investment has been recognized as a significant driver of economic development, particularly in developing countries, by fostering technology transfer, creating job opportunities, and stimulating productivity growth. This study seeks to delve into the specific mechanisms through which FDI influences economic growth in the context of developing countries. The research will commence with an in-depth exploration of the theoretical underpinnings and empirical evidence regarding the impact of FDI on economic growth. This will involve a comprehensive review of existing literature on the subject, highlighting key theories, models, and findings from previous studies. The literature review will provide a solid foundation for understanding the complexities and nuances of the FDI-economic growth relationship. Subsequently, the research will focus on the methodology employed to investigate the impact of FDI on economic growth in developing countries. A detailed explanation of the research design, data collection methods, and analytical techniques will be provided. The study will likely utilize econometric models to analyze the data and draw meaningful conclusions regarding the relationship between FDI and economic growth. The empirical analysis will involve the examination of data from a sample of developing countries to assess the extent to which FDI inflows contribute to economic growth. By employing statistical tools and econometric techniques, the study aims to identify the channels through which FDI affects various aspects of economic growth, such as GDP growth, employment creation, and technological advancement. The findings of this research are expected to shed light on the importance of FDI as a catalyst for economic growth in developing countries. The results will contribute to the existing body of knowledge on the topic and offer valuable insights for policymakers, investors, and other stakeholders interested in promoting sustainable economic development through foreign investment. The research outcomes may also inform policy recommendations aimed at maximizing the benefits of FDI while mitigating potential risks and challenges associated with foreign capital inflows. In conclusion, the research project on "The Impact of Foreign Direct Investment on Economic Growth in Developing Countries" seeks to deepen our understanding of the dynamics between FDI and economic growth in the context of developing nations. By examining the mechanisms through which FDI influences economic outcomes, this study aims to provide a comprehensive analysis of the opportunities and challenges associated with foreign investment in driving sustainable economic development in developing countries.