Work

Immigrant-led foreign direct investment and the dynamics of cross-border capital allocation in Africa

Year: 2024

Type: article

Abstract: This study investigates the effect of immigration on Foreign Direct Investment in 21 African countries between 1990 and 2021. Using random effects, fixed effects, and heteroscedasticity-based identification methods in a dynamic panel model, we found that countries with higher levels of past Foreign Direct Investment inflows and a higher proportion of Foreign Direct Investment-bound immigrants are more appealing to new investors. These findings encourage a critical examination of immigration policy aimed at promptly admitting skilled and enterprising immigrants while remaining committed to ethical principles, promoting social equity, and safeguarding fundamental human rights.

Source: Cogent Economics & Finance

DOI: 10.1080/23322039.2024.2426540

Authors: Koffi Sodokin, Kokou Wotodjo Tozo, Denera Atanguegnima

Institutions: University of Lomé, Centre National de la Recherche Scientifique, Université Clermont Auvergne, Institut de Recherche pour le Développement, Centre d'Études et de Recherches sur le Développement International

Language: English

Topic: International Business and FDI

Subfield: Strategy and Management

Field: Business, Management and Accounting

Domain: Social Sciences

SDG: Decent work and economic growth

Open Access status: gold

Estimated APC paid: $1,165