Thursday, December 6, 2012

Fdi in Bangladesh

INTRODUCTION: The issue of hostile Direct Investment (FDI) has been receiving phenomenal attention from many political sympathiess. Bangladesh is not lagging behind from it. economic development for the developing countries like Bangladesh is largely dependent on FDI. The major challenges for the host commonwealth atomic number 18 to ensure an conspicuous and conducive investment climate to foreign investors for FDI inflow. In new-fangled years, Bangladesh has been devoting efforts for attracting FDI offering a lot of lucrative incentives and benefits. Though attempts interpreted to increase FDI inflow, the result achieved is not appreciable enough for Bangladesh. Proponents of Foreign Direct Investment argue that it brings prosperity to the recipient countries with technological transfer, increasing volume of exports, enhancing job opportunities and increasing government revenue. Foreign Direct Investment (FDI) increases the volume of domestic detonating device to finance new development projects in the country and concurrently provides access to new technology, managerial and marketing know-how. But the inflows of FDI are not praiseworthy though it has an increasing trend.
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DETERMINANTS OF FDI: Arguments supporting FDI in developing countries suggest that recipient countries need to fulfill any(prenominal) preconditions to create a favorable business environment. It has certain advantages to both(prenominal) the host country and the investor. Host countries macroeconomic policy, tax regime, regulatory practices are critical determinants for attracting FDI. The foreign investors are also benefited by penetrating a market, gaining access to raw materials, diversifying business activity, bump rationalizing production processes and overcoming some exporting drawbacks, like trade barriers and sustain costs. Internal factors of host countries are important determinants for attracting FDI. Host country location related factors that mainly comprise of natural resources, catchpenny(prenominal) labor, proximity to markets and political,... If you want to get a full essay, indian lodge it on our website: Orderessay

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