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The Impact of FDI and Export on Economic Growth in India: An Empirical Analysis

Author

Listed:
  • Mohammed Rashid

    (Department of Agricultural Economics and Business Management, Aligarh Muslim University Aligarh, Uttar Pradesh, India.)

  • Shoaib Ansari

    (Department of Agricultural Economics and Business Management, Aligarh Muslim University Aligarh, Uttar Pradesh, India.)

  • Amir Khan

    (Department of Agricultural Economics and Business Management, Aligarh Muslim University Aligarh, Uttar Pradesh, India.)

  • Mohammad Amir

    (Department of Agricultural Economics and Business Management, Aligarh Muslim University Aligarh, Uttar Pradesh, India.)

Abstract

This study examines the association between India's foreign direct investments, exports, imports, and Inflation onEconomic Growth in India. The autoregressive distributed lag (ARDL), bounds testing technique to co-integration over the long run, is used to investigate these connections. The error correction model (ECM) is also utilized to investigate the short-run dynamics. The findings support a long-term connection between FDI, exports,imports and Inflation onEconomic Growth. Furthermore, FDI inflows, exports and Inflation in India proved to have a positive and insignificant on Economic Growth. However, imports looked to have a negative and insignificant impact. Finally, the research recommends that a more favorable government policy toward FDI might make the Indian economy more dynamic.

Suggested Citation

  • Mohammed Rashid & Shoaib Ansari & Amir Khan & Mohammad Amir, 2023. "The Impact of FDI and Export on Economic Growth in India: An Empirical Analysis," Post-Print hal-05132190, HAL.
    • Handle: RePEc:hal:journl:hal-05132190
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