IDEAS home Printed from https://ideas.repec.org/a/ids/afasfa/v11y2021i1p20-34.html
   My bibliography  Save this article

Infrastructure-FDI nexus in Nigeria: insights from nonlinear threshold regression model

Author

Listed:
  • Md. Mahmudul Haque
  • Mohammad Ashraful Ferdous Chowdhury
  • Mohammad Hassan Shakil
  • Mansur Masih

Abstract

Infrastructural development of the host country is one of the major determinants of attracting FDI. However, the nonlinear threshold relationship between the infrastructural development and FDI inflow is yet to be explored. The objective of this research is to find the threshold effect of infrastructure on FDI in Nigeria. Using Hansen's (2000) threshold regression over the period 1972-2015, the study found that the relationship between infrastructure development and FDI is nonlinear. Furthermore, the relationship between infrastructure and FDI is positive in both regimes; however, the marginal positive impact of infrastructural development in attracting FDI is more evident after the threshold level. The findings provide support to the regulators and policy makers to improve infrastructural development for attracting more FDI in the economy which can foster economic growth.

Suggested Citation

  • Md. Mahmudul Haque & Mohammad Ashraful Ferdous Chowdhury & Mohammad Hassan Shakil & Mansur Masih, 2021. "Infrastructure-FDI nexus in Nigeria: insights from nonlinear threshold regression model," Afro-Asian Journal of Finance and Accounting, Inderscience Enterprises Ltd, vol. 11(1), pages 20-34.
    • Handle: RePEc:ids:afasfa:v:11:y:2021:i:1:p:20-34
    as

    Download full text from publisher

    File URL: http://www.inderscience.com/link.php?id=111795
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ids:afasfa:v:11:y:2021:i:1:p:20-34. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sarah Parker (email available below). General contact details of provider: http://www.inderscience.com/browse/index.php?journalID=214 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.